Backed by rising expectations for Further cuts in American interest rates, gold crossed Wednesday for the first time the key threshold of $4,200 per ounce. The revival concerns about trade relations between the United States and China a also boosted demand for safe haven assets.

At 06:59 GMT, spot gold rose by 1.4% to $4,200.11 per ounce Gold Futures Contracts American for delivery in December gained 1.3% at $4,218.0

The precious metal tends to perform well in a low interest rate environment, as well as in times of political uncertainty and economical.

Gold, a safe haven, has increased by 59% since the start of the year, driven by a combination of factors: uncertainties geopolitical and economic, expectations of American rate cuts, purchases massive central banks, de-dollarization trend and robust inflows in exchange-traded funds.

Silver rose by 2% to $52.48, after reaching a record $53.60 on Tuesday, driven by the rally of gold and a smaller supply on the spot market.

Elsewhere, platinum gained 1.3% at $1,658.65 and palladium rose 0.9% to $1,538.75.