Abstract：Gold prices surged above $4,400 per ounce on Monday, extending a powerful rally as investors rushed into safe-haven assets amid escalating geopolitical tensions linked to Venezuela and heightened uncertainty across global financial markets.
Gold prices surged above $4,400 per ounce on Monday, extending a powerful rally as investors rushed into safe-haven assets amid escalating geopolitical tensions linked to Venezuela and heightened uncertainty across global financial markets.
The sharp move in bullion followed weekend reports of a major escalation involving the United States and Venezuela, which triggered risk aversion at the opening of the week. Market participants reacted swiftly, shifting capital away from risk-sensitive assets and into traditional stores of value such as gold.
According to widely circulated reports, the United States military conducted operations in Venezuela over the weekend, leading to the detention of Venezuelan President Nicolás Maduro and his wife, Cilia Flores, who were reportedly transferred to New York. Media reports claim that Maduro is being held at the Metropolitan Detention Center in Brooklyn, where he is expected to face charges related to narco-terrorism and possession of prohibited weapons. U.S. authorities have not provided full public details, keeping markets on edge.
Further adding to the uncertainty, U.S. President Donald Trump warned that Washington could consider additional military action if Venezuelas interim leadership under Delcy Rodríguez fails to comply with U.S. demands. The comments reinforced fears of prolonged instability in the region and potential spillover effects into global commodity and currency markets.
Dollar Steady, Oil Volatile
Despite the surge in gold, the U.S. Dollar Index (DXY) remained relatively stable, trading near the 98.30 level. Currency traders are closely monitoring whether geopolitical stress will ultimately support the dollar as a safe-haven asset or undermine it due to concerns over widening geopolitical exposure and fiscal risks.
In the energy market, WTI crude oil prices dipped modestly during early trading before stabilizing and rebounding toward $58 per barrel. Traders are weighing the possibility of supply disruptions in Latin America against broader concerns about global demand and slowing economic growth.
Safe-Haven Demand Dominates
Analysts note that golds explosive move reflects a combination of geopolitical risk, central-bank demand, and persistent concerns about global financial stability. With volatility rising across equities and emerging-market assets, gold continues to attract institutional and retail investors seeking protection against sudden market shocks.
If geopolitical tensions remain elevated or escalate further, market strategists warn that gold could remain well supported in the near term, while volatility in currencies and commodities is likely to persist.
