Gold Prices Jump Over 2% After U.S. Captures Venezuelan President Maduro

TLDR

• Gold climbed 2.4% to $4,432.12 per ounce on Monday after U.S. military forces captured Venezuela’s President Nicolas Maduro in a Caracas raid
• The operation represents the most direct American military action in Venezuela in decades, with Maduro now in U.S. custody facing criminal charges
• Trump announced the U.S. will “run” Venezuela and demands “total access” to the nation’s oil reserves, the world’s largest proven supply
• Silver prices surged nearly 5% as traders moved into precious metals amid the geopolitical uncertainty in Latin America
• Gold posted over 60% gains in 2025 and reached a record $4,549.71 per ounce before recent profit-taking

Gold prices posted strong gains Monday after the United States conducted a military raid that resulted in Venezuelan President Nicolas Maduro’s capture. The operation ended with Maduro being flown to American soil to face criminal prosecution.

Spot gold increased 2.4% to reach $4,432.12 per ounce during European market hours. March delivery gold futures advanced 2.7% to $4,444.30.

The weekend raid in Caracas represented the most direct U.S. military intervention in Venezuela in decades. American officials confirmed Maduro’s detention and transfer to the United States.

President Donald Trump called the operation a “decisive step” against what he termed a criminal government. He promised the U.S. would oversee a “safe and orderly transition” for Venezuela.

Silver outpaced gold’s gains with a nearly 5% increase. Platinum and palladium also moved higher as investors shifted toward safe-haven commodities.

Trump Declares U.S. Control Over Venezuela

Trump stated the United States plans to “run” Venezuela following the removal of Maduro. He said Washington needs “total access” to the country and its oil resources.

The South American nation possesses the world’s largest proven oil reserves. Decades of sanctions and insufficient investment have drastically cut Venezuela’s production capacity.

Markets reacted to uncertainty about Venezuela’s crude oil supply in the coming months. Traders evaluated potential effects on energy prices and stability throughout Latin America.

Thomas Mathews from Capital Economics said immediate economic and financial impacts appear limited. He warned that geopolitical consequences could prove important and potentially maintain elevated risk premiums on regional assets.

Christopher Wong at Oversea-Chinese Banking Corp described the situation as reinforcing geopolitical uncertainty. He noted the developments suggest a quick resolution rather than extended military engagement.

Gold entered 2025 with strong upward momentum already established. The metal gained more than 60% during the year and set a record high of $4,549.71 per ounce.

Prices pulled back from that peak due to substantial profit-taking by traders. The metal has since recovered most of those losses and trades near all-time highs.

Last year marked gold’s strongest annual performance since 1979. The metal broke through multiple price records during the twelve-month period.

Support came from central banks purchasing bullion and money flowing into gold-backed exchange-traded funds. The Federal Reserve’s three interest rate reductions also benefited precious metals that generate no yield.

Goldman Sachs forecasts gold reaching $4,900 per ounce in 2025. The projection factors in expected Fed rate cuts and Trump’s influence on central bank leadership changes.

Janet Yellen, former Treasury Secretary, spoke Sunday about risks from growing federal debt. She said conditions are building for fiscal dominance, where debt levels force the central bank to maintain low rates.

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