Gold Reaches New Highs as Stocks Secure Record Weekly Gains
Last week, gold joined the broader stock market selloff, falling nearly 3% as investors sold bullion to cover losses in other assets. This week’s economic calendar was packed with Fed speaking engagements, inflation updates, and other key U.S. data releases. However, markets were largely driven by tariff-related headlines.
Volatility returned as markets opened on Monday, with the Dow Jones Industrial Average notching its largest intraday swing in history. Stocks ultimately ended the day lower, weighed down by tariff concerns and President Trump’s hints at stricter measures against China. At the same time, gold dropped nearly 2% to $3,001 an ounce, as investors favored the dollar in a rush toward safe-haven assets.
Markets sold off again on Tuesday amid growing fears of a multi-front trade war. The S&P 500 closed below 5,000 for the first time in nearly a year, while the Nasdaq slid over 2%. Gold traded in a conflicted pattern throughout the day—pressured by rising bond yields but supported by dollar weakness and trade tensions. As a result, gold finished modestly higher at $3,116, while silver was flat near $30.06.
On Wednesday, stocks reversed course after President Trump announced a 90-day pause on all reciprocal tariffs with major trading partners—excluding China, which remained subject to a 125% tariff. The news sparked a 9.5% rally in the S&P 500. Meanwhile, gold extended its gains, rising 2% following the release of FOMC meeting notes projecting higher inflation through 2025. Additional support came from ongoing fears of an escalating U.S.–China trade war.
Wall Street’s momentum faded on Thursday, as major indexes gave back gains from the previous session. Tech shares led the decline, with Meta (-7%), Nvidia (-5%), and Tesla (-7%) dragging the Nasdaq down more than 4%—the steepest loss among the major averages. All this despite a lower-than-expected inflation print which revealed that core inflation reached its lowest point since March of 2021.
Gold continued its rally Thursday, reaching a new all-time high near $3,213, as the dollar weakened and trade war anxieties drove investors into safe-haven assets.
Both gold and silver extended their gains this morning, securing weekly advances. By the close, gold was up 6.6% for the week at $3,238, while silver ended at $32.37, marking a 7.3% weekly rise.
To cap off a volatile week, stocks surged today as investors digested fresh tariff headlines. The Nasdaq led the charge, posting a 7% weekly gain—its best since 2023. The S&P 500 and Dow also logged their strongest weeks since 2023, rising 8.26% and 6.13%, respectively.