The price of gold remains on the rise above $5,000, with "depreciation trading" making a comeback.

The price of gold rose, staying above $5000 per ounce for the second consecutive day. The weakening of the US dollar has helped to continue the upward trend driven by geopolitical risks and investors selling off sovereign bonds and currencies. The price of gold rose by over 1% in early trading on Tuesday, marking the seventh consecutive trading day of gains. The Bloomberg Dollar Spot Index fell to its lowest level in nearly four years overnight, increasing the purchasing power of most buyers of gold. Meanwhile, US President Donald Trump threatened to increase tariffs on South Korean goods to 25%. Gold has risen nearly 17% so far this year, reflecting a resurgence of so-called "devaluation trades" as investors sell off currencies and sovereign bonds. Last week, Japanese government bonds fell, providing the latest evidence of investors rejecting large-scale fiscal stimulus. Currently, the price of gold is up by 0.8% to $5050.01 per ounce. Silver prices have risen by 3.5% to $107.44 per ounce, after pulling back from its historic high of $117.71 per ounce in the previous trading day. Platinum and palladium prices have also risen.