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Gold breaks $5,000 for the first time

ended 26. January 2026

Gold has broken through $5,000 for the first time today. This comes as silver broke through $100 for the first time last week.

  • Why are gold and silver prices so high? Why have they shot up so fast?
  • Any ways your average person can get involved?
  • Anything you should be wary of when investing in metals?

Responses asap.

4 responses from the Newspage community

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Gold is an insurance policy, not a lottery ticket. This surge is fuelled by a "perfect storm" of geopolitical tension, including Greenland, Venezuela, Iran, and Ukraine, and a rotation out of US Treasuries into safe-haven assets. Silver’s rise is further intensified by a massive industrial supply deficit driven by the AI and green energy sectors. Average investors can participate through ETFs (like GLD), mining stocks, or by purchasing physical bullion and fractional gold via digital apps. However, caution is vital. Buying at all-time highs carries significant "pullback" risk if diplomacy stabilizes. Investors should also watch out for high dealer premiums and scams targeting retirees. Unlike stocks, metals pay no dividends, so they function better as a portfolio "insurance policy" than a primary growth engine. Keeping exposure to 5–10% of your total assets remains the standard recommendation for stability.
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Trumps desire to rewrite the international political framework single handed and also rising global instability has investors switching to the safe haven of gold. With Trump’s term no where near over, the gold rally may continue.
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Silver above $100 is a loud signal that the paper market is being stress-tested by physical demand. The squeeze is visible in Comex (trading platform) as price rose, silver volume eased, which is consistent with shorts finding it harder to stay in the game. Gold is in a classic bull market so it reaching $5,000 was a matter of timing but the path will be volatile. For ordinary investors, real issue is currency debasement: treat metals as insurance, avoid leverage, favour allocated/fully-backed exposure, and size positions so you can endure pull-backs.
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Gold is showing us the increasingly rapid decline of the real value of traditional currency. The day the gold price breaks $5,000 an ounce is the same day the gold price breaks £120,000 a kilo. Gold has hit another new high – but it is equally true to say traditional currency hits another new low.