Gold Nears Record High as Fed Rate Cut Bets Grow

Gold surged to a caller precocious conscionable beneath 4,200 dollars per ounce connected Wednesday, Oct. 15, lifted by increasing expectations of further U.S. involvement complaint cuts and renewed trade tensions betwixt Washington and Beijing. Spot golden roseate 1.1% to 4,185.59 dollars an ounce astatine 06:04 GMT, aft hitting a grounds 4,193.38 dollars earlier successful the session. U.S. golden futures for Dec. transportation climbed 1% to 4,204.30 dollars, according to Reuters.

“The U.S. authorities shutdown and dovish remarks from Jerome Powell person provided the latest spark for gold’s rally,” said Matt Simpson, elder expert astatine StoneX.

Federal Reserve Chair Jerome Powell said the U.S. labour marketplace remains weak, though the system “may beryllium connected a somewhat firmer footing than expected.” He emphasized that aboriginal complaint decisions would beryllium made gathering by meeting, balancing soft labour information against persistent inflation.

Investors present spot an astir definite accidental of 25-basis-point complaint cuts by the Fed successful some Oct. and Dec.
Gold, traditionally viewed arsenic a harmless haven, has jumped 59% since the start of the year, buoyed by geopolitical uncertainty, rate-cut expectations, strong cardinal slope purchases, planetary “de-dollarization” trends, and hefty inflows into gold-backed funds.

“This rally has go a momentum trade — investors are piling successful conscionable to pursuit prices higher,” Simpson added.

Trade jitters and broader metals surge

U.S. President Donald Trump said Washington is considering halting definite trade ties with China, including successful cooking oil, arsenic some countries imposed caller larboard tariffs this week. The International Monetary Fund raised its 2025 planetary maturation forecast but warned that renewed U.S.–China tensions could dampen that outlook.

Silver gained 1.9% to 52.43 dollars an ounce, aft touching a grounds 53.60 dollars connected Tuesday, while platinum roseate 0.8% to 1,644.49 dollars and palladium climbed 0.8% to 1,537.19 dollars.