Spot gold soared 2.6% to $5,538.69 an ounce, after hitting a record $5,591.61 earlier in the day

Gold extended its blistering rally on Thursday to hit a record just short of $5,600 an ounce, as investors sought safety amid geopolitical and economic uncertainties.

Spot gold soared 2.6% to $5,538.69 an ounce by 0349 GMT, after hitting a record $5,591.61 earlier in the day.

Growing U.S. debt and uncertainty created by signs that the global trade system is splintering into regional blocs as opposed to a U.S.-centric model are leading investors to pile into gold, said Marex analyst Edward Meir.

The yellow metal jumped past the $5,000 mark for the first time on Monday and has gained more than 10% so far this week, driven by a cocktail of factors including strong safe‑haven demand and firm central bank buying.

Gold is no longer just a crisis hedge or an inflation hedge; it is increasingly viewed as a neutral, and a reliable store of value asset that also provides diversification across a wider range of macro regimes, OCBC analysts said in a note.

Gold has added more than 27% this year following a 64% jump in 2025.

Although the parabolic nature of the rally suggests a pullback is not far away, the underlying fundamentals are expected to remain supportive throughout 2026, positioning any dips as attractive buying opportunities, IG market analyst Tony Sycamore said.

Meanwhile, the U.S. central bank decided to leave rates unchanged on Wednesday, as widely expected. Central bank Chair Jerome Powell said inflation in December was likely still well above the bank’s 2% target.

On Thursday, the precious metal also drew support from crypto group ‘s plans to allocate 10%–15% of its investment portfolio to physical gold.