Precious metal prices surged on Monday after the United States’ capture of Venezuelan President Nicolás Maduro heightened investor anxiety over global geopolitical risks.
In early Asian trading, gold climbed about 1.8% to around $4,408 an ounce, while silver jumped nearly 3.5%, as investors shifted funds into traditional safe-haven assets. Oil prices, however, were largely unchanged, and most Asian stock markets traded higher.
Both gold and silver reached record highs in 2025 before retreating slightly at the end of the year. Despite that late dip, gold recorded its strongest annual performance since 1979, gaining more than 60% and hitting an all-time high of $4,549.71 on December 26. The rally was driven by expectations of interest rate cuts, strong central bank purchases, and growing concerns over global economic and political uncertainty.
Crude oil prices fluctuated in early trading and were slightly lower by mid-morning as investors assessed whether US intervention in Venezuela would disrupt global oil supplies. President Donald Trump has announced plans to tap into Venezuela’s vast oil reserves following the seizure of Maduro, saying the US would oversee the country during a transition period.
However, analysts believe the move is unlikely to have an immediate effect on global energy prices. Experts also note that restoring Venezuela’s oil sector would require billions of dollars in investment after years of decline. According to OCBC investment strategist Vasu Menon, Venezuela now contributes only about 1% of global oil production.
Meanwhile, stock markets across the Asia-Pacific region posted gains as investors focused on other global developments. Japan’s Nikkei 225 rose 2.6% on the first trading day of the year, supported by data showing stabilising manufacturing activity in December. Markets in South Korea and China also advanced.
Analysts say the market reaction suggests confidence that the impact of events in Venezuela will remain limited. Zavier Wong of eToro said investors see the fallout as distant, while Shigeto Nagai of Oxford Economics attributed the strong performance in Japan and South Korea mainly to the AI-driven rally in US markets late last week.
Source: 3news
