Gold Hits Record High as Investors Flee Geopolitical Risks
Gold prices have surged to record highs, climbing 1.3 percent to $3,809 in early trading, as investors seek refuge from geopolitical risks such as Russia's invasion of Ukraine. This marks a significant 45 percent increase so far in 2025 and a staggering 130 percent rise over the past three years.
The safe haven status of gold has been bolstered by aggressive US trade policies and President Donald Trump's attacks on the US Federal Reserve, raising concerns about central bank independence.
Meanwhile, Bitcoin has also seen a 20 percent price increase in 2024, driven by growing acceptance among institutional investors. This trend, coupled with economic uncertainties in Asia, has led to capital flowing into Bitcoin from local markets.
In other market news, the DAX, Germany's leading stock market index, has gained around 19 percent since the end of 2024.
Both gold and Bitcoin have experienced significant price increases, reflecting investor sentiment towards safe havens and alternative assets amid geopolitical and economic uncertainties. The DAX's strong performance also indicates a robust German stock market.
