GOLD, silver, copper and tin achieved unprecedented highs this week as investors anticipated further US interest rate reductions and improved sentiment across Chinese markets, said Bloomberg News on Wednesday.
Silver surged as much as 5.3% today, breaching $90 per ounce for the first time, whilst gold registered another all-time high. Tin led base metals with gains approaching six percent at one stage, and copper extended its advance.
Commodities have delivered extraordinary returns since late 2025 as traders position for additional Federal Reserve rate cuts intended to support American economic expansion, said Bloomberg News. Precious metals have gained additional support from Trump administration criticism of the central bank and heightened geopolitical tensions.
The so-called debasement trade, whereby investors shun government bonds and currencies over escalating debt concerns, has underpinned the rally, said the newswire.
A relatively subdued dollar enhances the appeal of dollar-denominated commodities. Gold climbed 65% last year whilst silver leapt almost 150%, marking their strongest annual performances since 1979.
“When gold moves first, it usually signals declining trust in fiat currencies,” Hao Hong, chief investment officer at Lotus Asset Management told the newswire. “Everything is measured against gold, then most assets look cheap right now, which is a strong tailwind for commodities, especially metals.”
Enhanced optimism in Chinese financial markets has also contributed to the metals rally, with investors accumulating metals futures and equities recently. Latest trade figures for the Asian economy revealed surging exports alongside other resilience indicators including stronger factory activity.
Base metals have benefited from anticipated supply constraints as global mines and smelters struggle to match demand, said Bloomberg. Copper faced numerous significant disruptions last year, aluminium encountered limitations in China, and Indonesian tin exports were curtailed, it said.
Tariff concerns have amplified gains, with copper traders accelerating metal shipments to American ports ahead of potential White House import levies. A US investigation could impose silver tariffs.
Citigroup recently upgraded three-month forecasts to $5,000% for gold and $100 for silver.
