Gold surged toward record peaks Wednesday, driven by investor fear over a U.S. government shutdown and growing expectations of imminent Federal Reserve rate cuts.
Spot gold jumped ~0.9% to $3,891.96 per ounce, with intraday highs at $3,895.09. U.S. futures for December delivery followed, up ~1.2% at $3,918.60.
The dollar weakened about 0.2%, encouraging inflows into gold from overseas buyers. With Washington’s funding impasse, essential economic data—like Friday’s nonfarm payrolls—may be delayed, adding uncertainty to the Fed’s path.
Soft U.S. jobs data has further strengthened the narrative for rate relief. Gold’s rise has been sharp: ~11.5% gain in September, ~16.4% for the quarter.
Silver and other precious metals also saw gains: silver up ~1.5%, platinum and palladium modestly positive.
If policy remains dovish and uncertainty persists, gold may continue to benefit from sustained safe-haven demand across global markets.
