Gold crosses $4,000 for first time, in historic rally

Gold pushed through $4,000 (about 130,000 baht) an ounce to hit a record yesterday, driven by investors seeking safety from mounting economic and geopolitical uncertainty, alongside expectations of further interest rate cuts by the US Federal Reserve.

- BRIJESH PATEL ANUSHREE MUKHERJEE

Spot gold was up 0.9% at $4,017.16 per ounce by 11:42 am in Thailand. US gold futures for December delivery gained 0.9% to $4,040 per ounce.

Traditionally, gold is seen as a store of value during times of instability. As one of the best-performing assets of 2025, spot gold is up 53% year-to-date after rising 27% in 2024.

“There’s so much faith in this trade right now that the market will look for the next big round number, which is 5,000, with the Fed likely to continue to lower rates,” said Tai Wong, an independent metals trader.

“There will be some bumps in the road like a lasting truce in the Mideast or Ukraine but the fundamental drivers of the trade, massive and growing debt, reserve diversification, and a weaker dollar are unlikely to change in the medium term.”