It’s been a busy week for markets, but what’s really making waves? A combination of soaring gold prices and the ASX 200 hitting levels not seen since October 2025. If you’re a trader, it’s been one of those days you don’t want to miss.
ASX 200 Hits Three-Month High
The ASX 200 closed up by 0.9% on Tuesday, January 27, 2026, hitting its highest level in three months. While the gains came off some earlier highs, the session still saw strong performances from materials, tech, and healthcare sectors. With gold and silver prices surging, it wasn’t just the Aussie market benefiting; other international markets saw similar upticks as well.
Leading the charge were stocks like Telix Pharmaceuticals, which rose 8.3%, and Capstone Copper, up 7.5%. Pro Medicus, a major player in the health sector, gained 5.1%, reflecting investor confidence in medical technology amid ongoing market fluctuations. However, not all stocks shared the same optimism. DroneShield, a defense tech company, saw its shares drop by 6.6% after announcing a slight dip in its projected sales pipeline, reports ABC News.
Gold Shines As Safe-Haven Asset
If there’s one thing the market can agree on, it’s that gold has been a safe haven lately. With a **record-breaking price surge above US$5,100 per ounce, investors are flocking to the precious metal as a hedge against global uncertainty. The rise is tied to economic fears, political instability, and general market volatility, with fears that the US dollar is weakening as a result of Trump’s trade policies.
According to experts, this surge isn’t a fluke. The shift in safe-haven assets from US dollars to gold has been gaining steam for months, with some analysts predicting that the price of gold could reach $6,000 by the end of 2026. This might be good news for investors who have kept faith in gold’s value, but it also signals deeper concerns about global financial stability.
What’s Next for the ASX?
Looking ahead, the market is waiting for key inflation data to be released on January 28, which could affect investor sentiment. A rate hike by the Reserve Bank of Australia (RBA) is on the cards, with markets now pricing in a 61% chance of a 0.25% increase.
Given that the unemployment rate recently fell to 4.1% in December, there’s a good chance the RBA will push for tighter monetary policies. But that might also increase household pressures, with interest rates rising alongside energy costs. So, while there’s optimism in the markets, many are still wondering just how sustainable this growth can be.
The Bottom Line
The ASX continues to thrive, gold remains a safe bet, and investors are holding their breath for the inflation report. Whether it’ll be a steady climb or a rocky ride remains to be seen. What’s certain is that these market shifts are worth paying attention to, especially if you’re looking for the next big play.
