Gold and silver spot prices retreated on Monday, with silver trading lower after breaching the $80-per-ounce level earlier in the session and gold easing from near record highs, as investors booked profits and a cooling in geopolitical tensions dampened safe-haven demand.
By 3:25 am AEDT (4:25 am GMT), spot gold was down 0.5% at $4,512.81 per ounce, after reaching a record high of $4,549.71 on Friday.
Spot silver held onto gains, up 0.6% to $79.55 per ounce, but easing from an all-time high of $83.62 touched earlier in the day.
Sentiment was weighed by signs of progress towards a potential peace deal in Ukraine. U.S. President Donald Trump said on Sunday that he and Ukrainian President Volodymyr Zelenskyy were “getting a lot closer, maybe very close” to an agreement to end the war.
Despite the pullback, silver has dramatically outperformed gold this year, gaining 181% year-to-date.
The rally has been driven by its designation as a critical U.S. mineral, persistent supply constraints and low inventories amid strong industrial and investment demand.
Gold has also enjoyed a stellar run in 2025, climbing 72% so far and repeatedly setting new record highs.
The precious metal has been supported by expectations of further U.S. interest rate cuts, ongoing geopolitical risks, strong buying from central banks seeking to diversify away from U.S. assets and the dollar, and rising inflows into gold-backed exchange-traded funds.
Traders continue to expect two U.S. rate cuts next year, an environment that tends to favour non-yielding assets such as gold and silver.
