BENGALURU: Gold and silver hit record highs on Monday, driven by a flight to safety after US President Donald Trump warned of extra tariffs on some European countries in a dispute over Greenland.
Spot gold jumped 1.7 per cent to $4,672.49 an ounce by 12:05pm ET (1705 GMT), after scaling a record peak of $4,689.39.
US gold futures for February delivery advanced 1.8pc to $4,677.70 an ounce.
Trump threatened several European allies with a series of escalating tariffs on Saturday unless the US is allowed to buy Greenland, intensifying a dispute over Denmark’s vast Arctic island.
Markets expect the Fed to leave rates on hold at its meeting over January 27-28 but are pricing in at least two cuts of 25 basis points this year.
Elsewhere, spot silver climbed 5pc to $94.41 an ounce after hitting a record high of $94.61. Silver has risen more than 32pc since the start of the year.
Analysts at Citi Research said they remain tactically bullish on precious metals, setting price targets of $5,000 an ounce for gold and $100 an ounce for silver in the next three months.
In other metals, spot platinum added 1.5pc to $2,362.65 an ounce while palladium rose 1.1pc to $1,819.99.
