Gold marched ahead on Thursday, hovering just shy of $5,600 an ounce as investors rushed into safe havens amid geopolitical and economic unease, while silver vaulted past $120.

Spot gold shot up 2.7% to $5,546.29 an ounce by 0752 GMT, after hitting a record high of $5,594.82 earlier in the day. The metal has hit record highs for nine straight sessions.

US gold futures for February delivery jumped 4.5% to $5,539.20 after hitting an all-time high of $5,626.80 earlier.

"Gold prices are (rising on) safe-haven demand because of the strange geopolitical situation and even the political situation in the US, (which is) not looking great. There are concerns around Fed independence. And when that happens, investor trust in the financial system gets shaken up," said ANZ analyst Soni Kumari.

Investors are worried about the US Federal Reserve's independence amid the Trump administration's criminal investigation into Chair Jerome Powell, efforts to fire Fed Governor Lisa Cook, and the looming nomination of Powell's replacement in May.

"Growing US debt and uncertainty created by signs that the global trade system is splintering into regional blocs as opposed to a US-centric model (are leading investors to pile into gold)," said Marex analyst Edward Meir.

The yellow metal jumped past the $5,000 mark for the first time on Monday and has gained more than 10% so far this week, with strong safe-haven demand, firm central bank buying, and a weaker dollar, all driving prices higher.

Gold has already gained more than 27% this year, following a 64% jump in 2025.

US President Donald Trump urged Iran on Wednesday to come to the table and strike a deal on nuclear weapons. He warned that any future US attack would be far more severe than the one last year when Iranian nuclear sites were struck.

Tehran responded with a threat to strike back against the US, Israel, and those who support them.

Meanwhile, the Fed left rates unchanged on Wednesday, as widely expected. Powell said inflation in December was likely still well above the central bank's 2% target.

With elevated gold prices, customers have been flocking to precious metal traders in Shanghai and Hong Kong, with some betting it could rise even further.

Elsewhere, spot silver was up 1.4% at $118.25 an ounce after sprinting to a record high of $120.45 earlier.

Demand from investors looking for cheaper alternatives to gold, along with supply shortages and momentum buying, helped the white metal, which has already jumped more than 60% thus far in 2026.

"People are piling in to try and take advantage of this rally, and as a result, (silver) could end up with a fairly sharp reversal once the frenzy comes to an end. Of course, it needs to be anchored in the fact that there are strong fundamentals underpinning the silver market," Kyle Rodda, a senior market analyst at Capital.com said.

Spot platinum climbed 2.8% to $2,770.49 an ounce, after hitting a record high of $2,918.80 on Monday, while palladium rose 1.6% to $2,107.37.