Gold price jumps above US$ 5,500 for the first time on record

Gold prices soared to a new all-time high of US$ 5,579 before settling around US$ 5,500 during early trading in Asia on Thursday. This rise in gold prices is driven by strong demand for safe investments due to ongoing geopolitical issues, economic worries, and a declining US Dollar (USD). Tensions have increased after US President Donald Trump issued a new warning to Iran on Wednesday. Trump called on Iran to engage in discussions to reach a “fair and equitable deal” that would prevent the development of nuclear weapons, stating that failing to do so would result in a much worse US response. In reaction, Iran threatened to retaliate against the US, Israel, and their allies.