Gold Surges as Investors Hedge Against Trump‑Era U.S. Policy Risk

Gold prices have jumped about 17% so far in 2026 as global investors reduce reliance on the U.S. dollar and Treasuries and use bullion as insurance against what they see as unpredictable policy from the Trump administration. Economists and portfolio managers tell Axios that investment flows into gold reflect worries about 'policy fragmentation' in Washington and eroding faith in traditional safe havens. Central banks now hold more gold than U.S. Treasuries for the first time in roughly 30 years, a shift that began in 2025 and has continued into 2026 as countries look to diversify reserves away from dollar assets. Analysts note that broader demand for metals tied to data‑center build‑outs and geopolitical risk is also supporting gold and silver, and one BlackRock manager argues there is no clear valuation ceiling since gold’s worth is set purely by what buyers will pay. The trend underscores a growing global appetite to hedge against U.S. political and geopolitical risk, and its durability will depend on whether perceived uncertainty out of Washington persists.