Gold prices soared this week, reaching fresh all-time highs as investors sought safe-haven assets amid political turmoil in Washington.
The spike follows a U.S. government shutdown after a Republican-backed spending bill failed to pass the Senate. This heightened uncertainty has bolstered demand for precious metals, which have seen gains across the board.
Gold had been steadily climbing since late 2024, with a brief pause between April and late August, before resuming its upward trajectory.
John McCluskey, president and CEO of Alamos Gold, told Investing.com that his company anticipated the rally years in advance.
“Between 2015 and 2017 we made three acquisitions when gold was between $1,100 and $1,300. Since then, we’ve been rapidly growing our reserve and resource base with the discovery of over 8 million ounces at a cost of $30 an ounce,” he said.
“This has allowed us to drive value for shareholders as gold continues to hit record highs, like we’ve seen this week.”
Looking ahead, McCluskey added: “Earlier this year, when the gold price was around $3,400, I predicted that we were still in the opening innings of this bull phase and prices could reach $3,800.
“Now that we’ve crossed that threshold, I think we will see this bull phase continue because of the macro forces at work that are underpinning the gold trade – like central bank buying and the U.S. debt.”
Max Baecker, president of American Hartford Gold, told Investing.com that the recent rally is “one of its strongest runs in history,” with gold up nearly 50% year-to-date.
He expects strong support for gold heading into 2026, citing “continued government spending, slower economic growth, and the Fed signaling more rate cuts.”
Baecker concluded: “The long-term backdrop remains very supportive for gold.”
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