Gold surged close to recent record highs yesterday amid volatile trading.
The yellow metal has been recovering its shine as global political turmoil, coupled with expectations of interest rate cuts, adds to its appeal as a safe-haven asset.
Yesterday, it rallied to more than $4,350 an ounce, before giving up some of its gains.
Gold hit an all-time high of $4,381 in October before dipping sharply to less than $3,900 but it has regained its lustre in recent weeks.
It is on course to have climbed by almost 70 per cent over the course of 2025.
The recent rally has helped boost London-listed miners Fresnillo and Endeavour – up by 26 per cent and 12 per cent over the past month.
Glittering returns: Gold has been recovering its shine as global political turmoil coupled with expectations of interest rate cuts add to its appeal as a safe-haven asset
Trading was rockier yesterday, with Endeavour up 1.8 per cent, or 64p, to 3602p, but Fresnillo fell 1.7 per cent, or 48p, to 2856p
Both firms are on course for huge gains for the year as a whole, with Fresnillo more than quadrupling in value for 2025 to date.
Gold tends to be more attractive in a low interest rate environment and traders are betting there will be more cuts from the US Federal Reserve after its latest reduction last week.
Demand for gold has also been stoked by global central banks buying more of it.
DIY INVESTING PLATFORMS
AJ Bell
AJ Bell
Easy investing and ready-made portfolios
Hargreaves Lansdown
Hargreaves Lansdown
Free fund dealing and investment ideas
interactive investor
interactive investor
Flat-fee investing from £4.99 per month
Freetrade
Freetrade
Investing Isa now free on basic plan
Trading 212
Trading 212
Free share dealing and no account fee
Affiliate links: If you take out a product This is Money may earn a commission. These deals are chosen by our editorial team, as we think they are worth highlighting. This does not affect our editorial independence.