Gold snapped back from last week’s brief setback, with heavy buying on Monday propelling the metal to a new all-time high of US$4,359.40/oz for the most-active Comex contract—up 3.5% on the day and marking the biggest single-session gain since April 9, 2020. The rebound follows Friday’s 2% pullback amid heightened US–China trade tensions and underscores gold’s status as 2025’s preferred safe-haven.
“It’s kind of amazing,” Thomas Winmill, portfolio manager of the Midas Discovery Fund told MarketWatch. Midas Discovery Fund invests in gold miners and was up about 164% year-to-date through Friday.
Catalysts behind gold surge
Winmill cited a mix of potential catalysts behind the surge—fragile geopolitics, central banks buying the dip, and institutional demand meeting tight supply—and argued the larger uptrend remains intact. With “most mined gold already spoken for” and central banks diversifying reserves amid concerns over the “weaponisation” of the US dollar, he sees continued support for prices.
That macro backdrop has been favorable: the US dollar index is down ~9% year-to-date, while gold has climbed ~65% in 2025. The price strength is rippling through listed products and miners. SPDR Gold Shares (GLD) jumped 3.5%, closing above $400 for the first time. Locally, investors have poured $935 million into ASX-listed physical gold ETFs so far this year—on pace to eclipse the pandemic-era record—while gold-miner ETFs lead performance tables, with BetaShares Global Gold Miners up nearly 120% and VanEck Gold Miners up 110%.
High spot prices are also reshaping supply expectations. Projects that were uneconomic near $2,000/oz are reassessing output plans as margins expand. “As gold prices go up, those that were uneconomic to mine suddenly can show profit margins,” Winmill said.
Bottom line: with record spot levels, robust ETF inflows, central-bank diversification, and a weaker dollar, the market’s bias remains pointed higher. Any dips continue to find ready buyers—reinforcing gold’s position as the cycle’s standout asset.