Gold and Silver Surge to Record Highs Amidst Trump Tariff Threat
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Gold reached a record $4,689.39 per ounce and silver peaked at $94.08 per ounce on Monday, as investors responded to former U.S. President Donald Trump’s threat of new tariffs on eight European nations opposing his interest in acquiring Greenland.
Precious Metals as Safe Havens
The price increases in gold and silver reflect their status as safe-haven assets during periods of geopolitical and economic uncertainty. Both metals have experienced notable price growth over the past year as global tensions have risen. Investors often turn to precious metals to preserve capital when stock markets appear volatile or face potential downturns.
For exmaple, the price of gold has increased by over 60% since January 2023, demonstrating a clear trend of investors seeking security in precious metals. (Source: Kitco.com ancient gold prices, accessed January 19, 2026)
European Stock Market Reaction
European stock markets declined on Monday due to concerns about escalating geopolitical tensions. Investors are worried about the potential economic impact of the proposed tariffs on trade between the U.S. and Europe.
On Saturday, Trump announced a 10% tariff on goods originating from Denmark, Norway, Sweden, France, Germany, the United Kingdom, the netherlands, and Finland, effective February 1st.He indicated the tariff could increase to 25% and remain in place until these countries reconsider their opposition to his proposed Greenland purchase. (Source: Reuters, January 13, 2026)
context of the Greenland Proposal
trump first publicly expressed interest in purchasing Greenland in August 2019, describing the autonomous Danish territory as a strategically important asset. The proposal was widely rejected by both Danish and Greenlandic officials. The recent tariff threat appears to be a renewed attempt to pressure these nations regarding the potential sale.
In a statement released on january 13, 2026, a spokesperson for the Danish Prime Minister Mette Frederiksen reiterated Denmark’s firm stance against selling greenland, calling Trump’s tariff threat “unacceptable and counterproductive.” (Source: Politico.eu, January 13, 2026)
