Silver, gold hit record highs – then crashed. Before joining rush, you need to know this Premium
The Hindu
Gold and silver prices soared to record highs before crashing; understand the risks before investing in precious metals now.
The start of 2026 has seen gold and silver surge to record highs – only to crash on Friday. Gold prices peaked above USD 5,500 (AUD 7,900) per ounce for the first time on Thursday, well above previous highs. But by the end of Friday, it had dropped to around USD 5068 (AUD 7,282).
Silver had been making gains even faster than gold. It hit more than USD 120 (AUD 172) per ounce last week, marking one of its strongest runs in decades, before crashing on Friday to USD 98.50 (AUD 141.50).
So what’s behind those surges and falls? And what should everyday investors know about the risks of investing in precious metals right now?
Gold is the classic safe haven: an asset people buy to protect their savings when worried about financial risks.
With international political tensions rising, trade war threats, shifting signals about where interest rates are heading and a potential changing world order, investors are seeking assets that feel stable when everything else looks shaky.
Friday’s crash in gold and silver was sparked by financial markets reacting to early news of Donald Trump’s nomination of Kevin Warsh as chair of the US Federal Reserve. The US central bank plays a key role in global financial stability.
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