Gold, Silver Spike To Record Highs As Fed Independence Falters: What's Moving Markets Monday?

Gold and silver surged to fresh record highs Monday as investors reassessed the Federal Reserve's independence fears amid a new political escalation.

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Gold prices — as tracked by the SPDR Gold Shares (NYSE:GLD) — jumped 2.5% to $4,620 an ounce, setting another all-time high. Silver also soared more than 7% to $86 an ounce, extending its 12-month rally to over 190%

The move followed reports that the Department of Justice opened a criminal probe into Federal Reserve Chair Jerome Powell over renovation costs at the Fed's headquarters.

Powell framed the investigation as a pretext to pressure the central bank into cutting interest rates, directly clashing with President Donald Trump's policy demands.

Markets read the development as another attempt by the administration to challenge the Fed's independence, with investors selling Treasuries and rotating aggressively into precious metals.

Major stock averages on Wall Street showed timid gains as the market adopted a wait-and-see stance ahead of a busy week of macro data and earnings. On Tuesday, the Bureau of Labor Statistics will release December inflation data.

The fourth-quarter earnings season also kicks off, with JPMorgan Chase & Co. (NYSE:JPM), Bank of New York Mellon Corp. (NYSE:BK) and Delta Air Lines Inc. (NYSE:DAL) reporting before the opening bell.

Financial stocks underperformed on Monday after Trump proposed capping credit card interest rates at 10%. Capital One Financial Corp. (NYSE:COF) tumbled 6.6%, posting its worst session since April 10, 2025. American Express Co. (NYSE:AXP) fell nearly 5%, while Citigroup Inc. (NYSE:C) dropped 3.5%.

In contrast, Vistra Corp. (NYSE:VST) led the S&P 500 higher, gaining more than 6% after Friday's 10.5% surge. Shares continued to climb on optimism surrounding a multi-year power contract with Meta Platforms Inc. (NASDAQ:META).

Oil prices were little changed at $59 a barrel, shrugging off geopolitical turmoil in Iran. Bitcoin (CRYPTO: BTC) rebounded 1.5% to $92,000.

Monday's Performance In Major U.S. Indices, ETFs

According to Benzinga Pro data:

• The Vanguard S&P 500 ETF (NYSE:VOO) flattened at $638.74.
• The SPDR Dow Jones Industrial Average (NYSE:DIA) moved -0.16% to $494.25.
• The tech-heavy Invesco QQQ Trust Series (NASDAQ:QQQ) eased 0.12% to $627.38.
• The iShares Russell 2000 ETF (NYSE:IWM) traded at $260.86.
• The Consumer Staples Select Sector SPDR Fund (NYSE:XLP) outperformed, up 1.1%; the Financial Select Sector SPDR Fund (NYSE:XLF) lagged, down 1.0%.

Russell 1000's Top 5 Gainers And Losers On Monday

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