Gold, silver prices stay near all-time highs amid fresh tariff threats

Precious metals prices remained near all-time highs as the United States and Europe seemed set to escalate a simmering trade war.

Gold traded near $4,676.70 an ounce in the afternoon of Jan. 19, while silver topped $94 an ounce.

On Jan. 17, President Donald Trump said he would slap a new 10% tariff on goods from Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands and Finland because of their opposition to American control of Greenland. In response, the heads of those countries said that threat could “undermine transatlantic relations and risk a dangerous downward spiral.” 

U.S. stock and bond markets were closed Monday for the federal holiday in honor of Martin Luther King Jr., but stocks sold off around the globe.

Precious metals are often used as a hedge against global turmoil. They are considered potentially safer than assets like company stocks that depend on a growing economy, and they exist independently of any individual country or central bank.

"Since Liberation day, investors have been keen to reduce US asset dominance in portfolios, supporting Gold, precious metals more broadly and (emerging markets) assets," said analysts at Goldman Sachs in a Jan. 19 analysis. "Liberation Day" was Trump's name for his April 2025 announcements about tariffs, which wound up shocking financial markets.

The bank is "modestly pro-risk," Goldman's analysts wrote, adding that commodities are a solid choice for diversifying against geopolitical tensions. "We prefer precious metals over energy — markets are already pricing geopolitical risk more heavily in gold than oil."