Gold Hits All-Time Highs: A Safe Haven Amid Uncertainty and ETF Opportunities
By Ion Jauregui – Analyst at ActivTrades
Gold prices have reached all-time highs near $3,300 per ounce, driven by a surge in global risk aversion. Trade tensions between the U.S. and China, coupled with Nvidia’s recent warning of a potential $5.5 billion earnings loss due to export restrictions, have created a highly uncertain environment for markets.
The market reaction was immediate: investors shifted toward safe-haven assets such as gold and the Japanese yen. This was further supported by a weakened U.S. dollar and growing skepticism toward U.S. Treasury bonds—factors that enhance the appeal of the precious metal. In this context, spot gold exceeded $3,283, while June futures approached $3,300 per ounce, marking historic milestones.
Why Is Gold Rising?
Gold serves as a hedge against geopolitical risk, inflation, and dollar weakness. The escalation in tariffs between the U.S. and China—with rates reaching as high as 145%—and fears of a global economic slowdown reinforce risk perceptions and push investors toward non-yielding, stable assets like gold.
ETFs Benefiting from the Gold Rally
For investors who prefer exposure to gold through regulated financial instruments, ETFs (Exchange-Traded Funds) offer an efficient and liquid option. The most notable beneficiaries include:
• SPDR Gold Shares (GLD): the world’s largest gold ETF, which directly tracks the price of physical gold.
• iShares Gold Trust (IAU): a similar alternative to GLD, with a lower cost structure.
• VanEck Vectors Gold Miners ETF (GDX): invests in gold mining companies, which typically magnify gold price movements.
• VanEck Junior Gold Miners ETF (GDXJ): focused on smaller mining firms with higher growth potential but greater volatility.
Technical Analysis
Currently, the support zone from the last upward move around $3,140.30 is holding. A new bullish leg appears to be forming at $3,214.83, which has propelled gold higher since the market opened, pushing the metal toward $3,378.45. The current control zone lies in the mid-range around $3,304. The RSI is in heavily overbought territory at 67.29%. A bullish crossover has occurred, with the 50-period moving average crossing above the 100-period, indicating that this price expansion could soon test higher levels again.
Conclusion
The current environment suggests that gold will remain a key asset as long as commercial and technological uncertainty persists between major global powers. Whether through direct investment in the metal or via specialized ETFs, investors have multiple avenues to capitalize on this historic moment for gold.
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The information provided does not constitute investment research. The material has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and such should be considered a marketing communication.
All information has been prepared by ActivTrades ("AT"). The information does not contain a record of AT's prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information.
Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance is not reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acting on the information provided does so at their own risk.
By Ion Jauregui – Analyst at ActivTrades
Gold prices have reached all-time highs near $3,300 per ounce, driven by a surge in global risk aversion. Trade tensions between the U.S. and China, coupled with Nvidia’s recent warning of a potential $5.5 billion earnings loss due to export restrictions, have created a highly uncertain environment for markets.
The market reaction was immediate: investors shifted toward safe-haven assets such as gold and the Japanese yen. This was further supported by a weakened U.S. dollar and growing skepticism toward U.S. Treasury bonds—factors that enhance the appeal of the precious metal. In this context, spot gold exceeded $3,283, while June futures approached $3,300 per ounce, marking historic milestones.
Why Is Gold Rising?
Gold serves as a hedge against geopolitical risk, inflation, and dollar weakness. The escalation in tariffs between the U.S. and China—with rates reaching as high as 145%—and fears of a global economic slowdown reinforce risk perceptions and push investors toward non-yielding, stable assets like gold.
ETFs Benefiting from the Gold Rally
For investors who prefer exposure to gold through regulated financial instruments, ETFs (Exchange-Traded Funds) offer an efficient and liquid option. The most notable beneficiaries include:
• SPDR Gold Shares (GLD): the world’s largest gold ETF, which directly tracks the price of physical gold.
• iShares Gold Trust (IAU): a similar alternative to GLD, with a lower cost structure.
• VanEck Vectors Gold Miners ETF (GDX): invests in gold mining companies, which typically magnify gold price movements.
• VanEck Junior Gold Miners ETF (GDXJ): focused on smaller mining firms with higher growth potential but greater volatility.
Technical Analysis
Currently, the support zone from the last upward move around $3,140.30 is holding. A new bullish leg appears to be forming at $3,214.83, which has propelled gold higher since the market opened, pushing the metal toward $3,378.45. The current control zone lies in the mid-range around $3,304. The RSI is in heavily overbought territory at 67.29%. A bullish crossover has occurred, with the 50-period moving average crossing above the 100-period, indicating that this price expansion could soon test higher levels again.
Conclusion
The current environment suggests that gold will remain a key asset as long as commercial and technological uncertainty persists between major global powers. Whether through direct investment in the metal or via specialized ETFs, investors have multiple avenues to capitalize on this historic moment for gold.
*******************************************************************************************
The information provided does not constitute investment research. The material has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and such should be considered a marketing communication.
All information has been prepared by ActivTrades ("AT"). The information does not contain a record of AT's prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information.
Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance is not reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acting on the information provided does so at their own risk.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.