Gold prices have maintained their position above the historic $3,000 per ounce threshold for over a week now, consolidating these gains as April gold futures closed at $3,063.90 on Thursday. This sustained price level, representing a 13% increase year-to-date, comes amid ongoing trade tensions and the implementation of President Trump's tariffs on imported vehicles.
The precious metal first broke above $3,000 last week and has shown remarkable resilience, refusing to retreat below this psychologically important barrier despite normal market fluctuations. This price stability at elevated levels suggests a potential new trading range for gold rather than a temporary spike.
"The sustained trading above $3,000 per ounce demonstrates gold's fundamental strength in the current economic environment," noted Jim Wyckoff, senior market analyst at Kitco News. "Bulls maintain the strong overall near-term technical advantage."
Mining Stocks Continue to Lag
Despite gold's impressive performance, mining stocks have failed to keep pace with the metal's rise. The VanEck Gold Miners ETF (GDX) is up 20% year-to-date, significantly underperforming relative to the 13% increase in gold prices when considering historical leverage.
Ross Norman, CEO of Metals Daily, highlighted this unusual situation: "You have this absolutely bizarre disconnect between the gold price, which is at a record high over $3,000 an ounce, and has just been on wheels for the last year, and the gold equities which are still trading as if gold was $1,800 an ounce."
This disconnect may present an opportunity for investors considering various ways to gain exposure to gold, including physical ownership of the metal itself.