Gold prices extend gains at settlement, hit fresh record

Gold bars

Gold prices extended their gains at settlement today, Feb. 18, sparked by the growing safe-haven demand amid global trade tensions resulting from the new US administration's protectionist policies.

April gold futures leapt by 1.65%, or $48.30, to finish at $2,949 per ounce — the highest-ever level for the yellow metal.

This came despite the US dollar index, which gauges the greenback’s value against a basket of six major currencies, inching up by 0.4% to 107.02 points at 10:41 pm Makkah time.

Goldman Sachs revised upwards its 2025 outlook for gold prices to $3,100 an ounce, up from its previous estimate of $2,890, citing growing demand from global central banks.

This was attributed to the state of political uncertainty, including fears of high customs duties that the US administration is threatening to impose on trading partners.