Gold Hits Record High Amid Global Shift From U.S. Dollar

Gold surged by over $100 on Thursday, briefly nearing $3,100 an ounce — its highest price on record — as investors moved away from the U.S. dollar in response to economic instability and rising stagflation risks.

Economist Peter Schiff attributed the rally to ongoing fallout from U.S. tariff policy and growing global concerns about the long-term value of the dollar. In a video update, he criticized the recent pause in President Trump’s trade war, calling it a political maneuver that failed to address core economic weaknesses.

The Fox News pundit argued that tariffs, intended to reduce trade deficits, are in fact worsening them by weakening U.S. competitiveness and increasing costs for American consumers. He warned that the deficits are becoming unsustainable and heavily dependent on foreign capital inflows.

Following the tariff pause announcement, gold initially dipped but quickly recovered. Schiff noted the metal’s strength despite market volatility, positioning it as a hedge against inflation and currency depreciation. He further highlighted the potential for strong Q2 earnings in the gold mining sector, due to high gold prices and relatively low energy costs.

Schiff concluded by reaffirming his recommendation to hold physical gold as a long-term store of value.