Spot gold hit a fresh peak of $3,537/oz, with futures for December delivery reaching $3,600. Prices have climbed nearly 35% year-to-date.
Markets are pricing in a 89.8% chance of a Fed rate cut this month, with up to three cuts expected before year-end.
Persistent inflation and financial market instability continue to boost gold’s appeal as a safe haven.
Tariff disputes and concerns over Fed independence especially amid criticism from President Trump are fueling investor anxiety.
Central Bank Buying:
Global central banks are increasing gold reserves, reinforcing bullish momentum.
Gold ETFs are seeing strong demand, reflecting broader investor confidence in the metal’s resilience.
Deutsche Bank’s Jim Reid attributes the rally to “anticipation of rate cuts and persistent inflation fears,” while the World Gold Council flags growing unease over U.S. economic governance.
(source cnbc.com)
—Agencies
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