Gold and Silver Hit Records as Fed Fears Push Investors to Safety

Ben Graham · 12 horas atrás

Gold and silver climbed to record highs this week, with gold surpassing $4,600 per ounce and silver exceeding $86, as concerns mounted that political pressure in the U.S. could erode the Federal Reserve’s independence.

Not even two weeks into 2026, markets are already reacting to a growing list of flashpoints. A U.S.-backed challenge to Venezuela’s national integrity and an unfolding coup, escalating tensions in Iran, and renewed talk of military risk involving NATO, alongside Donald Trump’s aggressive push to reclaim Greenland, have pushed investors back toward traditional stores of value.

This was not on my 2026 bucket list.

(Source: TradingView)

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Trump Vs Powell: Things Are Looking Ugly

Tensions between President Trump and Fed Chair Jerome Powell escalated dramatically over the weekend. On January 11, 2026, the Department of Justice served the Federal Reserve with grand jury subpoenas, threatening criminal charges against Powell related to his prior congressional testimony about the central bank’s headquarters renovation project (which has drawn criticism for significant cost overruns).

In a rare and pointed video statement released Sunday evening, Powell directly addressed the probe, calling it a pretext and linking it explicitly to ongoing administration efforts to influence monetary policy. He stated:

The threat of criminal charges is a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the President.

Powell emphasized: “This is about whether the Fed will be able to continue to set interest rates based on evidence and economic conditions, or whether instead monetary policy will be directed by political pressure or intimidation.”

Video message from Federal Reserve Chair Jerome H. Powell: https://t.co/5dfrkByGyX pic.twitter.com/O4ecNaYaGH

— Federal Reserve (@federalreserve) January 12, 2026

Several Republican senators on the Banking Committee (such as Thom Tillis, Lisa Murkowski, and Kevin Cramer) condemned the attack as an attempt to undermine the Fed’s independence and indicated they would oppose Trump’s future Fed nominees until the matter is resolved.

Former Fed chairs and bipartisan economic officials also issued statements defending Powell against what they described as “prosecutorial attacks” aimed at weakening the central bank.

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Gold And Silver Explode And Hit New ATH – Could Bitcoin Follow?

Gold has pushed into fresh record territory above $4,585 per ounce this week, reflecting a 71.4% increase over the past year from around $2,675 in January 2025. Silver has extended its multi-year climb past $85, posting a remarkable 187% gain from approximately $29.80 during the same period. Both metals benefited from renewed demand as confidence in institutional stability declined.

The silver chart is something else pic.twitter.com/BzFY3H1nmt

— Joe Weisenthal (@TheStalwart) January 12, 2026

For Bitcoin, the conflict has reinforced its narrative as a decentralized hedge. The price has held resilient around $91,000–$92,000 despite some initial dips. Spot Bitcoin ETFs saw strong early-year inflows of over $1.5 billion in the first few days of 2026, though later sessions brought net outflows of roughly $1.1–$1.3 billion, leaving year-to-date flows nearly flat at around $200 million net positive.

Market sentiment remains cautiously optimistic: many participants view the tensions as ultimately supportive for crypto, especially if they lead to Fed easing or greater institutional adoption, even as short-term volatility continues.

Whether this tension resolves through dialogue or escalates further, the early days of 2026 serve as a reminder that in uncertain times, the flight to safety remains a powerful market force.

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