Gold Surges Past $2,100 as Geopolitical Tensions Over Greenland Escalate

Gold extended its upward momentum on Tuesday, breaking above $2,100 per ounce for the first time in history as concerns over Greenland’s territorial status intensified following a series of diplomatic escalations. The surge followed a reported military buildup by an unnamed foreign power near Nuuk, the capital, prompting international condemnation and heightened uncertainty about Arctic resource control. The increase in gold’s value marks a 7.3% rise over the past month, outpacing the S&P 500’s 2.8% gain during the same period. Analysts noted that gold has now become the top-performing asset among major commodities in 2026, with investors increasingly seeking refuge from geopolitical volatility. The spot price reached $2,142 at 18:30 GMT, reflecting a sharp 2.1% daily jump. Market participants are closely watching developments in the North Atlantic region, where multiple nations have issued statements calling for de-escalation. However, the lack of immediate diplomatic resolution has fueled speculation that the conflict could escalate further, potentially disrupting shipping lanes and energy infrastructure in the Arctic Circle. As a result, ETF flows into physical gold-backed funds have surged, with inflows totaling $1.8 billion in the last seven days—marking the highest weekly volume since early 2024. Meanwhile, silver and palladium also saw modest gains, though gold remains the primary beneficiary of risk aversion sentiment.