Continue to create a new historical high! Gold price breaks through $4500 for the first time!

Due to the escalation of tensions in Venezuela and market expectations of further interest rate cuts by the Federal Reserve next year, the price of gold has once again hit a historical high, breaking the $4,500 per ounce mark for the first time. As of the end of trading on Wednesday, the spot price of gold rose by 0.57% to $4,510.46 per ounce, continuing the upward trend for the third consecutive day, marking a new high on the fifty-first trading day of the year. Silver also rose by 0.6% at one point, reaching a historical high of $71.856 per ounce. According to compiled data since 1987, the price of platinum broke through the $2,300 per ounce mark for the first time. The price of palladium also saw an increase. Traders are betting that the Federal Reserve will once again lower borrowing costs next year, creating a low interest rate environment, which is favorable for non-yielding precious metals. At the same time, over the past week, as geopolitical tensions have escalated, especially with the situation in Venezuela, the safe-haven appeal of gold has further strengthened. The United States has blocked Venezuelan oil tankers, increasing pressure on President Nicols Maduro's government. Gold prices have soared by over 70% so far this year, mainly due to major central banks increasing their gold purchases and a large influx of funds into gold ETFs. Gold is expected to achieve its best annual performance since 1979. Data from the World Gold Council shows that the total holdings of gold ETFs have increased every month this year except for May. After hitting a previous high of $4,381 per ounce in October, gold prices fell, with the previous rally believed to be overcrowded and overheated. However, prices quickly rebounded, and now gold prices are expected to continue their upward trend into next year. Several banks, including Goldman Sachs, predict that gold prices will continue to rise through 2026, with a basic forecast of $4,900 per ounce, while also noting the existence of upside risks.