Gold Soars as U.S. Raids Venezuela and Captures President Maduro

Gold rockets to new highs as geopolitical shockwaves rattle traditional markets.

Safe-Haven Frenzy

Investors stampede into bullion following the unprecedented military action. The move triggers a classic flight-to-safety, exposing the raw nerves underpinning the global financial system. It's the oldest hedge in the book—when tanks roll, gold glitters.

Digital Gold Stays Steady

While physical metal surges, major cryptocurrencies hold their ground. Bitcoin and Ethereum trade in a tight range, showing a notable decoupling from the panic in commodity pits. The divergence highlights a maturing asset class that no longer blindly follows every geopolitical tremor.

Portfolios on Edge

The event acts as a brutal stress test for every asset allocation model. Bonds, stocks, and currencies whipsaw as analysts scramble to price in a new era of direct intervention. It's a stark reminder that the most sophisticated risk models still can't code for a sudden regime change.

A cynical take? The vaults are full of gold, but the real power might just be in the encrypted wallets sitting quietly on the sidelines—untouchable by any raid.

TLDR

• Gold prices jumped over 2% on Monday after U.S. forces captured Venezuelan President Nicolas Maduro during a weekend raid in Caracas
• Maduro was detained and flown to the United States to face criminal charges in the most direct U.S. intervention in Venezuela in decades
• President Trump said the U.S. plans to “run” Venezuela and requires “total access” to the country, including its oil reserves
• Gold reached $4,432 per ounce while silver gained nearly 5% as investors sought safe-haven assets during the geopolitical uncertainty
• Gold surged over 60% in 2025 and hit a record high of $4,549.71 per ounce before profit-taking pulled prices lower

Gold prices climbed more than 2% on Monday following a U.S. military operation that resulted in the capture of Venezuelan President Nicolas Maduro. The weekend raid in Caracas marked the most direct American intervention in the South American nation in decades.

Spot gold traded up 2.4% at $4,432.12 per ounce in European trading hours. U.S. gold futures for March delivery increased 2.7% to $4,444.30.

Silver prices jumped even higher, gaining nearly 5% during the same period. Platinum and palladium also posted gains as investors moved into precious metals.

While everyone is focused on oil:

Venezuela currently holds 161 metric TONS of gold reserves.

161 metric tons is roughly 5.18 million troy ounces, worth ~$22 BILLION at $4,300/oz.

This makes Venezuela the Latin American country with the largest gold holdings.

Every $100 that… pic.twitter.com/pI8DWgt1CB

— The Kobeissi Letter (@KobeissiLetter) January 4, 2026

U.S. officials confirmed that Maduro was detained during the operation and transported to the United States. He now faces longstanding criminal charges that have been pending against him.

President Donald TRUMP described the capture as a “decisive step” against what he called a criminal regime. Trump stated the U.S. would ensure a “safe and orderly transition” in Venezuela.

U.S. Plans Extended Role in Venezuela

Trump went further by saying the U.S. plans to “run” Venezuela following Maduro’s removal. He emphasized that Washington requires “total access” to the country, including its vast oil reserves.

Venezuela holds the world’s largest proven oil reserves. However, years of international sanctions and lack of investment have severely reduced the country’s oil production capacity.

The uncertainty surrounding Venezuela’s near-term crude supply added to market volatility. Investors assessed potential implications for energy markets and regional stability across Latin America.

Thomas Mathews, Head of Markets for Asia Pacific at Capital Economics, said the near-term economic and financial implications appear minor. However, he noted the geopolitical ramifications could be important and might keep risk premiums elevated on some regional assets.

Christopher Wong, an analyst at Oversea-Chinese Banking Corp in Singapore, said the episode reinforced geopolitical uncertainty. He added that developments point to a relatively quick closure rather than a prolonged military conflict.

Gold already had strong momentum heading into 2025. The precious metal surged over 60% last year, reaching a record high of $4,549.71 per ounce before heavy profit-taking pressured prices lower.

The metal has rebounded since then and remains close to peak levels. Gold posted its best annual performance since 1979, hitting multiple records throughout the year.

Central bank buying and inflows to bullion-backed exchange-traded funds provided support. Three interest rate cuts by the Federal Reserve also helped precious metals, which don’t pay interest.

Goldman Sachs Group projects gold could reach $4,900 per ounce this year. The forecast assumes additional Federal Reserve rate cuts and changes to the central bank’s leadership under Trump.

Former Treasury Secretary Janet Yellen warned Sunday about long-term risks from mounting federal debt. She said preconditions are strengthening for fiscal dominance, where debt size prompts the central bank to keep rates low to minimize servicing costs.