Washington: Gold prices crossed 4800 dollars an ounce for the first time on Tuesday as investors rushed to safe assets amid rising tensions between the United States and the European Union over Greenland.
According to market data, spot gold climbed to fresh record levels as concerns grew about the impact of geopolitical disputes on global trade and financial stability. The rally was driven by fears that the disagreement between Washington and its European allies could lead to new tariffs and strain long standing diplomatic ties.
The tension follows strong statements from US President Donald Trump on Greenland, a strategically important Arctic territory, and warnings of possible trade measures against European partners. European leaders have responded firmly, raising worries among investors about a wider political and economic fallout.
As uncertainty increased, global stock markets came under pressure, while the US dollar weakened slightly. This made gold more attractive for investors seeking protection from market volatility and currency risk.
Market analysts said the steady rise in gold prices reflects growing nervousness across financial markets. Many investors are reducing exposure to riskier assets and shifting funds into traditional safe havens such as gold.
Other precious metals showed mixed movement, with silver remaining firm, while platinum and palladium saw fluctuations. However, gold continued to stand out as the preferred choice during the current period of uncertainty.
With no immediate signs of easing tensions between the US and Europe, analysts expect gold prices to remain elevated in the near term, as investors closely watch developments related to trade, diplomacy and global economic stability.