Gold prices rose to new record highs on Monday as rate cut bets and safe-haven demand boosted sentiments in the market.
Silver followed suit with prices breaching the $69 per ounce barrier for the first time ever.
Meanwhile, oil prices climbed more than 2% on Monday as the US intercepted an oil tanker off the coast of Venezuela.
Additionally, the three-month copper contract on the London Metal Exchange nearly breached the $12,000 per ton mark for the first time ever.
The copper contract was at $11,927 per ton, up 0.4%. Prices had risen to a record high of $11,996.18 per ton earlier in the day.
Bullion hits record high
On Monday, gold hit a new all-time high, crossing $4,400 per ounce, driven by anticipations of US interest rate reductions and persistent demand for safe-haven assets.
Concurrently, silver mirrored this trend, also reaching a fresh record high.
Gold has experienced its most substantial annual surge since 1979, with an increase of nearly 68% this year.
This significant growth is primarily attributed to large-scale central bank acquisitions, heightened demand for safe-haven assets, and a reduction in interest rates.
Meanwhile, silver prices have seen a striking 138% jump year-to-date.
This rally is driven by robust investment interest, increasing industrial applications, and an ongoing shortfall in supply.
Further supporting a low-interest-rate environment, Federal Reserve Governor Stephen Miran reiterated on Friday his stance that the US central bank should cut interest rates.
Lower rates are argued as necessary to counter job market risks since inflation has already dropped.
Gold, a non-yielding asset, typically gains in lower rate environments as a hedge against inflation and a safe haven.
The US dollar’s decline (set for its steepest annual drop since 2017) also made gold cheaper for foreign buyers.
At the time of writing, the COMEX gold contract was at $4,462.60 per ounce, up 1.7% from the previous close, while silver was at $69.030 per ounce, up 2.3%.
Oil prices climb
Fears of supply disruption led to a rise in oil prices on Monday, driven by two key developments: the US interception of an oil tanker off the coast of Venezuela in international waters, and the sustained high tensions in Russia’s ongoing war against Ukraine.
UBS analyst Giovanni Staunovo noted that, following the US embargo, market participants are now concerned about potential disruptions to Venezuelan oil exports—a risk they had previously overlooked.
Despite supply concerns elsewhere, the global oil market has largely managed to keep Brent futures stable, around $65 a barrel in the second half of 2025.
This stability is mainly due to increased supply from the US and the OPEC+ producer group.
However, prices have recently eased due to worries about oversupply. It is worth noting that Venezuelan crude accounts for only about 1% of the total global oil supply.
If successful, the US Coast Guard’s current pursuit of an oil tanker in international waters near Venezuela would mark the second such operation this week and the third in under two weeks, according to a Reuters report.
Meanwhile, US special envoy Steve Witkoff stated on Sunday that negotiations held in Florida over the previous three days, involving American, European, and Ukrainian officials, were productive in aligning their positions regarding the effort to end Russia’s war in Ukraine.
He added that separate discussions with Russian negotiators had also been fruitful.
At the time of writing, the price of West Texas Intermediate crude oil was at $57.94 per barrel, up 2.5%, while Brent was at $61.94 a barrel, up 2.4%.
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