Gold Price Hits New Record High Amid Global Uncertainty

Kathmandu. The price of gold in the international market has set a new record. The price of an ounce of gold has surpassed $5,000 (3,659 pounds) for the first time. Having increased by over 60 percent in 2025, the price of gold has continued its historical journey this year as well.

The escalating tension between the United States and the North Atlantic Treaty Organization (NATO) over the issue of Greenland has added to global financial and geopolitical uncertainty. This uncertainty has attracted investors towards gold. 

The aggressive trade policy of US President Donald Trump has also made the market more skeptical. Just on Saturday, President Trump warned that if Canada enters into a trade agreement with China, a 100 percent tariff will be imposed on Canada.

Gold and other precious metals are generally considered a 'safe investment' during times of financial and political instability. For this reason, investors consider investing in gold safer than in the dollar or the stock market. Other factors are also responsible for the increased demand for gold. 

The surge in prices is due to abnormally high inflation, the weakening US dollar, and central banks worldwide increasing their gold reserves. Furthermore, the expectation that the US Federal Reserve will cut interest rates again this year has also boosted the gold market.

In addition, the ongoing war in Ukraine and Gaza, and the tension created by Washington's move to take Venezuelan President Nicolas Maduro into custody, have also helped push up the price of gold. 

Along with gold, the price of silver has also set a new record. On Friday, the price of silver crossed $100 per ounce for the first time. Silver saw a massive increase of about 150 percent in price last year.