Gold prices remained hovering near all-time highs as the market grew more confident that the Federal Reserve (Fed) will cut interest rates at its meeting next week.
Investors were watching the US producer price index (PPI) data released yesterday, which recorded a gloomy reading, with the next indication being consumer inflation (CPI) data due in New York tonight.
Spot gold prices rose about 0.6% to around $3,646.10 an ounce, slightly below the record high of around $3,674 previously reached, while December gold futures also rose to around $3,683.60.
The rise in gold prices since the beginning of the year has reached almost 40%, supported by high demand from investors as a “safe-haven” asset following President Donald Trump’s trade policies and large purchases from central banks.
US jobs data showed the labor market was slowing as it added 911,000 fewer jobs than previously estimated over the past year, raising investors' high expectations for a 25 basis point interest rate cut by the Fed.
In addition, ANZ bank raised its year-end gold price forecast to $3,800 an ounce from $3,600, and now expects prices to hit $4,000 by June 2026.
Watching other commodities trading, silver hit its highest level in nearly 14 years, while platinum also rose as investors began to shift some of their investments to alternatives to gold.
