NEW YORK — As economic uncertainty deepens worldwide, gold prices have notched more and more record highs.
That’s because gold sales can rise sharply when anxious investors seek “safe havens” for parking their money. Gold’s current rally arrives as U.S. President Donald Trump continues to announce new tariffs on economic allies and foes alike, roiling financial markets and threatening to reignite inflation for families and businesses alike.
On Tuesday, the International Monetary Fund said that outlooks for economies worldwide, including the U.S., have significantly worsened in the wake of Trump’s sweeping tariffs and the uncertainty they have created. And Trump’s recent threats suggesting he can remove Federal Reserve Chair Jerome Powell have only put investors more on edge.
If trends continue, analysts say the price of gold could continue to climb into unprecedented territory.
What’s the price of gold today?
The going price for New York spot gold hit a record $3,424.24 per troy ounce — the standard for measuring precious metals — as of close Monday. That’s about $1,097 higher than a year ago.
On Tuesday, gold futures touched a record high over $3,500 before the yellow metal pared gains and the spot gold price bounced around $3,381 after 4 p.m.
That spot gold price is up more than 30% since the start of 2025, per the data firm FactSet. By contrast, the stock market has tumbled. The benchmark S&P 500 is down over 12% this year.
Why is the price of gold going up?
A lot of it boils down to uncertainty. Interest in buying gold typically spikes when investors become anxious — and there’s been a lot of economic turmoil in recent months.
The heaviest uncertainty lies with Trump’s escalating trade wars. The president’s on-again, off-again new levy announcements and retaliatory tariffs from some of the nation’s closest traditional allies have created a sense of whiplash for both businesses and consumers — who economists say will foot the bill through higher prices.
Consumer confidence and global economic outlooks have deteriorated as a result. On Tuesday, the IMF said that the global economy will grow just 2.8% this year, down from its forecast in January of 3.3%.
And for the U.S. specifically, the fund expects growth will come in at just 1.8% this year, down sharply from its previous forecast of 2.7%. China, which currently faces the heaviest levies from the U.S., is also expected to see weakened growth.
Last week, Trump also renewed threats suggesting he could remove Powell — and has since stepped up his public criticism of the Fed chair for not cutting interest rates. Any attempt to unseat Powell would likely set off a crisis in global financial markets over fears that a less independent Fed could struggle to keep inflation under control — making investors all the more anxious.
Over the last year, analysts have also pointed to strong gold demand from central banks around the world amid other ongoing geopolitical tensions, including the wars in Gaza and Ukraine.
Advocates of investing in gold call it a “safe haven” — arguing the commodity can serve to diversify and balance your investment portfolio, as well as mitigate possible risks down the road. Some also take comfort in buying something tangible that has the potential to increase in value over time.
But even gold’s current rally has seen some volatility. The price of spot gold fell for several days following Trump’s sweeping “Liberation Day” announcement on April 2, for example.
U.S. stocks jumped in a widespread rally Tuesday. The S&P 500 climbed 2.5%. The Dow Jones Industrial Average rose 1,016 points, or 2.7%, and the Nasdaq composite gained 2.7%. All three indexes more than made up their big losses from the start of the week.