Why the Price of Gold Keeps Going Up

At his inauguration, President Trump said that “the golden age of America begins right now.” He was right, in one sense.The price of gold has been bursting through records in the first month of Mr.Trump’s second term, recently trading at more than $2,900 per troy ounce.

It is up about 12 percent already this year, on top of a 27 percent gain last year.Many strategists are upgrading their forecasts, predicting more gains ahead.There is so much demand for gold in New York, the global hub for futures trading, that it has led to long wait times to get bars out of vaults in London, where the physical market for gold is based.Gold has risen in the popular consciousness, too: Mr.

Trump said on Wednesday that officials in his administration would go to Fort Knox, the military base that houses about half of the Treasury Department’s gold reserves, “to make sure the gold is there.” (Treasury Secretary Scott Bessent later said that it was.)Gold is traditionally considered a haven asset, sought out by investors during times of turmoil.But, curiously, U.S.

stocks have continued to set their own records, and the labor market looks solid.Instead, among the explanations for the gold rush are fears about Mr.Trump’s policies on tariffs and deportations causing stronger inflation and worsening geopolitical tensions.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access.

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