Reviewed by Gotrade Internal Analyst
Gotrade News - Gold and silver have just smashed all-time highs amidst intensifying global market turbulence. This aggressive rally isn't just a fleeting trend, but a direct response to three fundamental shifts shaking investor confidence.
The Guardian reported on Thursday (Jan 29) that gold briefly touched $5,595 per ounce, while silver quadrupled to $118. These price explosions are happening as market anxiety grows over economic stability under the new US administration.
Key Takeaways:
-
Political pressure on the Fed is sparking serious doubts about the US Dollar's long-term value.
-
Rising geopolitical tensions and aggressive tariff threats are accelerating the flight to safe-haven assets.
-
Retail investors have taken the wheel from central banks, driving prices up in a massive buying frenzy.
1. A Crisis of Institutional Trust
Capital.com analyst Daniela Hathorn calls this phenomenon a "re-pricing of trust" in fiat currencies and state institutions. The administration's aggressive stance against the central bank's independence is seen as damaging to the financial system's credibility.
President Trump’s verbal attacks on Fed Chair Jerome Powell are raising red flags about potential runaway inflation down the line. Investors are now flocking to gold as a hedge, fearing the Dollar faces a serious risk of debasement.
2. Geopolitical Tensions Heating Up
Confrontational foreign policies, including threats of annexation and steep tariffs, are creating severe global uncertainty. Historically, gold has always been the ultimate go-to asset when the risk of conflict or trade wars spikes.
Giuseppe Sersale from Anthilia describes the current market moves as having all the hallmarks of a "mania" with vertical price charts. Fears of escalating conflict in Iran are further fueling the rush out of risky assets.
3. Retail Investors Take Charge
Unlike previous years, World Gold Council data shows that central bank gold purchases actually dropped by 21% in 2025. This current rally is largely fueled by retail investors panic-buying in response to alarming headlines.
Louise Street from the WGC notes that consumers are racing to secure their wealth through every available investment channel. Silver, being the more affordable option, has become the prime target for aggressive retail speculation in recent weeks.
Interestingly, while precious metals are flying, the US stock market remains resilient thanks to the tech sector. The S&P 500 still posted a 17.9% gain in 2025, highlighting a sharp divergence in asset class behavior.
Want to ride the gold wave without the hassle of storing physical bars? The VanEck Gold Miners ETF (GDX) gives you instant access to a portfolio of the world's biggest gold mining companies in a single trade. With Gotrade, you can start investing in this global asset from just $1, securely and easily.
That’s the market update worth watching today. Follow Gotrade News for timely coverage on US stocks, ETFs, and macro moves that shape market direction. For a structured starter guide, visit the Gotrade Blog to learn the basics and build your plan.
If you want to act on this news, track price moves and review your portfolio in the Gotrade app. You can start investing in US stocks and ETFs with $1, then align your next steps with your goals and risk profile. Download and open the Gotrade app now!
Reference:
-
The Guardian, What is behind the extraordinary rise in investment into silver and gold?. Accessed on January 30, 2026
-
Featured Image: Shutterstock
