Gold and silver surged to record highs on Monday after Federal Reserve Chairman Jerome Powell warned that the Trump administration’s “threats and continued pressure” were jeopardizing the central bank’s independence.
Gold futures rose 2% to over $4,600 an ounce after Powell’s video on Sunday, while silver rose to over $84 an ounce. Powell said in the video that the Justice Department’s subpoena for his testimony about the headquarters renovations came “in the broader context of government threats and continued pressure.”
A lower dollar, along with stocks, also helped boost prices for metals including gold, silver, platinum (PL=F) and palladium (PA=F).
“If you’re wondering why people are buying precious metals at all-time highs, the attack on the Fed is a reminder,” Robin Brooks, senior fellow at the Brookings Institution’s Global Economics and Development Program, told X on Monday morning.
“This is a deeply destabilizing event but one that fuels safe-haven demand,” he added.
Precious metal prices have risen for a week after the United States captured Venezuelan leader Nicolás Maduro, threatened to seize Greenland through negotiations or “hardball” and escalated tensions with Iran.
Rania Gule, senior market analyst at
Gold and silver continue to rise into 2026, building on last year’s historic gains.
Foreign central banks have purchased gold at a record pace in recent years, and the amount of gold they hold recently exceeded U.S. Treasuries for the first time since 1996, breaking a new threshold.
Meanwhile, silver outperformed gold from last year through 2026. China restricted silver exports at the beginning of the year, and analysts pointed out that amid the AI and reshoring boom, silver will run a deficit given its industrial use.
“But you have to be careful if you chase prices higher, because as silver reaches new highs, the risk of a sharp correction will only increase,” said David Morrison, senior market analyst at Trade Nation.
Ines Ferre is a senior business reporter at Yahoo Finance. Follow her on X: @ines_ferre.
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