Noor Trends News, Technical Analysis, Educational Tools and Recommendations
Gold prices surged to fresh all-time highs in Asian trading on Monday, driven by deepening uncertainty over U.S. monetary policy and a spike in geopolitical tensions following the expiration of a short-lived Russia-Ukraine truce.
- Spot gold jumped 1.4% to $3,396.16 per ounce.
- Gold futures (June delivery) surged 1.8% to $3,388.20 an ounce.
The rally comes as investors sought refuge in safe-haven assets amid a falling U.S. dollar, political pressure on the Federal Reserve, and renewed conflict in Eastern Europe.
Trump’s Federal Reserve Overhaul Plan Shakes Confidence
The main catalyst behind Monday’s surge was a sharp drop in the U.S. dollar, following President Donald Trump’s plan to restructure the Federal Reserve.
White House economic advisor Kevin Hassett confirmed Friday that Trump and his legal team were examining ways to dismiss Fed Chair Jerome Powell.
The move intensified fears of political interference in monetary policy, undermining confidence in the Fed’s independence and further weakening the dollar.
The U.S. Dollar Index slumped to its lowest level in three years, enhancing the appeal of gold, which becomes more attractive to foreign buyers when the dollar declines.
Russia-Ukraine Conflict Reignites After Ceasefire
Gold also found support from heightened geopolitical tensions, as Russia launched fresh missile and drone attacks on Ukraine early Monday, hours after the end of a one-day ceasefire declared for Orthodox Easter.
- The Kremlin confirmed that the truce would not be extended.
- Both Kyiv and Moscow traded blame for violating the Easter ceasefire.
The renewed violence added to broader global uncertainty, reinforcing gold’s traditional role as a safe-haven hedge.
Broader Precious Metals and Copper React
Silver and platinum also saw mixed moves:
- Silver futures rose 1% to $32.773 an ounce
- Platinum futures were flat at $978.00 an ounce
Meanwhile, copper prices edged higher, supported by the weaker dollar but capped by fears over ongoing U.S.-China trade tensions. China, the world’s largest copper importer, is currently facing a cumulative 145% tariff on its exports to the U.S.
- London Metal Exchange copper futures rose 0.3% to $9,231.00 per ton
- May copper futures gained 0.8% to $4.4733 per pound
Outlook
With uncertainty mounting on several fronts—from U.S. monetary leadership to escalating global conflicts—market appetite for gold and other traditional stores of value appears set to remain strong.
Investors will be closely watching:
- Further developments in Trump’s actions against the Fed
- Russia’s next military steps in Ukraine
- Upcoming economic data, especially on inflation and central bank policies
The combination of monetary instability, geopolitical risk, and central bank gold buying continues to build a powerful bullish narrative for the metal.
