Gold Hits $3,500 as Trump Targets Fed, Markets Flee U.S. Assets

​Gold just hit a historic milestone—$3,500 an ounce—as the market digests what may be one of the biggest threats yet to the Federal Reserve’s independence: President Trump’s push to fire Fed Chair Jerome Powell.

The surge came as a wave of uncertainty rippled across stocks, bonds, and the dollar. Investors rushed into traditional safe havens like gold, the yen, and the Swiss franc, seeking shelter from political and financial volatility. The dollar fell to its lowest since 2023, further fueling bullion’s run.

The precious metal is now up more than 33% in 2025, boosted by trade war fears, a flight from U.S. assets, and rising doubts about the Fed’s ability to operate without political interference. “Gold’s rapid ascent this year tells me markets have less confidence in the U.S. than ever,” said Lee Liang Le of Kallanish Index Services.

Adding fuel to the rally: strong inflows into bullion-backed ETFs, aggressive central bank buying, and bullish calls from top firms like Goldman Sachs, which sees gold hitting $4,000 by mid-2026.

Some analysts warn gold may be technically overbought in the short term, but few are betting against its longer-term momentum. “Bullion performs best when the global economy is in distress,” said Bloomberg strategist Ven Ram, “and the scale of current uncertainty is immense.”

​Bottom line: Gold has become more than a hedge—it’s now a referendum on confidence in U.S. leadership and policy stability. With the Fed under fire and markets on edge, gold’s record run may just be getting started.