Shares of gold and silver miners advanced on Monday after both metals pushed to fresh record highs, extending a rally driven by geopolitical tensions and expectations of easier U.S. monetary policy. The move capped what is shaping up to be the strongest annual performance for precious metals in more than forty years.
Spot gold rose 1.6% to $4,409.59 an ounce by 12:39 GMT, after touching an intraday peak of $4,420.01. U.S. gold futures for February delivery climbed 1.3% to $4,409.59. Silver also surged, with spot prices gaining 2.6% to $68.91 after earlier hitting a record $69.44.
In turn, mining stocks tracked the move higher. Newmont was up 2.9% in premarket trading, while Barrick Mining, Agnico and Royal Gold posted gains of more than 2% each.
Among silver miners, Fresnillo rose 2.4% in London, Pan American Silver added 3.7% before the U.S. open, and Wheaton gained 2.4%.
The rally reflects growing confidence that the Federal Reserve will deliver two interest rate cuts in 2026, a view reinforced by calls from U.S. President Donald Trump for looser monetary policy. Lower rates tend to support precious metals, which offer no yield.
Heightened geopolitical risks have also boosted demand for safe-haven assets. The U.S. has tightened an oil blockade on Venezuela, while Ukraine has targeted a tanker linked to Russia’s shadow fleet in the Mediterranean for the first time.
Gold has jumped nearly 68% this year, its biggest annual increase since 1979, supported by central bank purchases, haven demand and falling rates, while silver soared 139% year to date, underpinned by supply constraints, industrial demand and strong investor interest.
Meanwhile, the U.S. dollar edged lower, now heading for its sharpest annual drop since 2017, adding further support.
