(RTTNews) – Gold prices hit a new record high on Tuesday as traders flocked to safe-haven assets amid rising geopolitical and tariff tensions.
Spot gold rallied 1.2 percent to $4,734.18 an ounce while U.S. gold futures were up 3.2 percent at $4.741.36.
The dollar extended losses as U.S. President Donald Trump’s tariff threats left investors worried about exposure to U.S. assets.
Trump intensified his rhetoric on Greenland, insisting the U.S. needs the Arctic Island for national security reasons.
The United States deployed military aircraft to Pituffik Space Base in Greenland, prompting Denmark to rush its Army chief and troops to the Arctic Island in a dramatic escalation of tensions.
U.S. Treasury Secretary Scott Bessent sought to play down the fallout from Trump’s ‘No Nobel, No Peace’ comment and insisted it would be “very unwise” for Europe to escalate.
“Considering your Country decided not to give me the Nobel Peace Prize for having stopped 8 Wars PLUS, I no longer feel an obligation to think purely of Peace,” Trump wrote previously in a message to Norwegian Prime Minister Jonas Gahr Store and claimed there were no written documents proving Danish ownership.
He then claimed that the “World is not secure unless we have Complete and Total Control of Greenland.”
European Union leaders will hold an emergency meeting in Brussels on Thursday to decide how to respond to Trump’s threat to impose new tariffs on several European countries.
The European Union stated that its preference was to “engage not escalate”, but warned it was prepared to act. Trump is scheduled to address the World Economic Forum in Davos on Wednesday.
In another significant development, Trump threatened to impose 200 percent tariffs on French wine and champagne after Paris rejected his invitation to join his proposed Board of Peace initiative aimed at resolving global conflicts, saying it “does not intend to answer favourably.”
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