Key Points
- Gold and silver prices jumped after the U.S. captured Venezuelan President Nicolás Maduro.
- Spot gold rose 2.5% to over $4,430 an ounce, while silver gained nearly 5%.
- The price surge follows a record-breaking year for both gold and silver in 2025.
- Analysts are divided on whether the current rally will be short-lived or a sign of further gains.
Gold and silver prices jumped on Monday as investors reacted to the news that the U.S. has captured Venezuelan President Nicolás Maduro. Spot gold climbed as much as 2.5% to over $4,430 an ounce, while silver gained nearly 5%. The move comes after President Trump announced over the weekend that the U.S. plans to “run” Venezuela and take “total access” to its oil reserves, creating a lot of uncertainty about the future of the South American nation.
This kind of geopolitical drama often sends investors seeking refuge in precious metals. However, some analysts believe the rally might be short-lived. They argue that if the situation in Venezuela is resolved quickly and doesn’t lead to a wider conflict, the impact on gold prices will likely fade.
Adding to global tensions, Trump also used the weekend to discuss Greenland. He told reporters that the U.S. “needs” the territory for national security reasons, a comment that Denmark’s prime minister immediately denounced.
This latest spike in prices comes on the heels of a record-breaking year for precious metals. In 2025, gold had its best year since 1979, supported by central bank buying, a weaker dollar, and three interest rate cuts by the Federal Reserve.
Silver had an even more spectacular run, with its price also boosted by fears of potential U.S. import tariffs.
Looking ahead, many large banks remain bullish on gold. Goldman Sachs, for example, is predicting a rally to $4,900 an ounce. With the Fed expected to cut rates again and growing concern about the massive U.S. national debt, the long-term case for gold and silver remains strong, even if the current rally from the Venezuela news proves temporary.
