Gold prices climbed ​above $5,300 per ounce for the first time on Wednesday, propelled by economic and geopolitical uncertainty, while markets absorbed the Federal Reserve’s ⁠latest rate verdict.

Spot gold was up 2.2% at $5,301.60 an ounce by 2:40 p.m. ET (1940 GMT) after touching a record $5,325.56.

U.S. ⁠gold futures ‌for February settled 4.3% higher at $5,303.60.

"The rally in the precious metals have kind of taken on a life of their own at this point," said Peter Grant, vice president and senior ⁠metals strategist at Zaner Metals.

Gold remains overbought and vulnerable to a correction, but strong buying interest during dips continues to favor the upside, with the next target projected at $5,400, Grant added. The Fed held interest rates steady, citing still-elevated inflation alongside solid economic growth, but gave little indication in its latest policy statement of ⁠when borrowing costs might fall again.

Both Governor ​Christopher Waller, a contender to replace Fed Chair Jerome Powell when his term as central bank chief ends in May, and Governor ‍Stephen Miran, on leave from his job as an economic adviser at the White House, dissented in favor of a quarter-percentage-point rate cut.

"Markets ​are just oscillating after the Fed statement... No suggestion that the Fed is in any hurry to move again," said Tai Wong, an independent metals trader.

Powell said inflation in December was likely still well above the central bank’s 2% target. U.S. President Donald Trump said on Tuesday he would soon announce his pick to replace Powell.

Gold, a safe-haven asset that does not yield interest, typically performs well during periods of low rates. It has gained more than 20% since the start of the year, building on last year's record gains. Meanwhile, crypto group Tether plans to allocate 10%–15% of its investment portfolio to physical gold, its CEO Paolo Ardoino said, adding to the bullion ⁠which it says already backs some of its products.

Spot silver rose ‌0.7% to $113.78 an ounce after hitting a record high of $117.69 on Monday. Prices gained nearly 60% so far this year.

"Number of silver indicators suggest prices may be due a correction in the short term," analysts at Standard ‌Chartered said in ⁠a note.

Spot platinum fell 1% to $2,612.81, having hit a record $2,918.80 on Monday, while palladium rose 3.9% to $2,009.69.

(Reporting by Anmol ⁠Choubey and Ashitha Shivaprasad in Bengaluru; Editing by Shailesh Kuber, Emelia Sithole-Matarise and Leroy Leo)