April 17, 2025 — Gold prices eased slightly on Thursday as investors took profits following a record-breaking rally, even as persistent geopolitical and economic tensions continued to support the metal’s status as a safe-haven asset.

Spot gold slipped 0.1% to $3,338.81 per ounce as of 04:36 GMT, after earlier hitting a new all-time high of $3,357.40. Despite the slight pullback, bullion has surged over 3% so far this week and is up more than 27% year-to-date, reflecting strong investor interest amid global uncertainty.

U.S. gold futures remained resilient, inching up 0.1% to $3,351, signaling underlying bullish sentiment.

The latest leg of gold’s rally has been driven by a combination of factors, including escalating trade tensions, U.S. technology restrictions on China, and a weakening dollar. On Wednesday, the U.S. government announced tighter restrictions on chip sales to China, reigniting concerns over a prolonged tech war between the world's two largest economies. These developments have rattled markets and enhanced gold’s appeal as a hedge against uncertainty.

“The market is clearly risk-off, and everything is going gold’s way,” said a senior commodities analyst. “The combination of geopolitical stress and inflation concerns is creating the perfect storm for bullion investors.”

Adding to gold’s allure, the U.S. dollar index continues to hover near a three-year low, making gold more attractive to holders of other currencies. Meanwhile, fears over continued U.S. tariff actions and economic retaliation by China are further stoking demand for safe-haven assets.

Despite Thursday’s profit booking, analysts remain optimistic about gold’s long-term trajectory. Experts at ANZ reaffirmed their bullish stance, though they noted that a technical correction could be on the horizon. “A pull-back towards $3,050 per ounce looks possible after the recent swift price rally,” they wrote in a note. “But overall fundamentals continue to support a higher gold price.”

Other precious metals were not immune to the broader market pause. Spot silver fell 0.6% to $32.54, platinum lost 0.4% to $963.15, and palladium dropped 1.4% to $958.24. Still, silver has been tracking gold closely and is expected to benefit from the same macroeconomic drivers.

Looking ahead, market participants are eyeing upcoming comments from Federal Reserve officials and any developments in U.S.-China trade policy. A dovish tone from the Fed could lend further support to non-yielding assets like gold.

For traders, the current environment presents both opportunity and caution. While gold’s record highs are attracting attention, volatility around key headlines suggests that tactical entries and exits will be key in the days ahead.

As the market digests the recent surge, one thing remains clear: gold’s role as a safe-haven asset is more relevant than ever in a world shaped by shifting alliances, tech rivalries, and inflationary pressure.