Gold prices soared above $4,300 this week. What’s driving the surge?

Core Insights - Gold prices have reached a record high, with New York spot closing at $4,326 per troy ounce, driven by economic uncertainty and investor demand for safe-haven assets [1][2] - The ongoing U.S. government shutdown and trade tensions, particularly with China, have contributed to the rising gold prices as investors seek stability [2][5][6] - Gold futures have increased nearly 60% since the beginning of 2025, reflecting a significant shift in investor sentiment towards precious metals [3][4] Economic Context - The rise in gold prices is closely linked to the economic turmoil stemming from President Trump's trade wars, which have imposed steep tariffs and strained global economies [5] - The U.S. government shutdown has exacerbated economic anxieties, delaying key economic data and affecting federal employees, further driving investors towards gold [6] - The prospect of lower interest rates is making gold a more attractive investment option, as it typically gains appeal during periods of economic uncertainty [2]