Investors once again focused on fundamental global risks, which have driven gold's strongest annual performance in more than 40 years, Reuters reports.

Spot gold prices rose 1.3% to $4,387.29 per ounce. The day before, prices suffered their biggest daily drop in two months due to profit-taking by traders, retreating from Friday's all-time high of $4,549.71. U.S. futures also gained 1.3%, reaching $4,401.90.

Gold has risen 66% since the start of 2025, marking its best annual performance since 1979. The rally was driven by the Federal Reserve's easing of monetary policy, a weaker dollar, active purchases by central banks, growing holdings of exchange-traded funds, and geopolitical tensions.