Gold Hits New Record With Trade, Rate Cuts in Focus
Gold prices climb to a new record, as U.S.-China trade frictions and growing expectations for further interest-rate cuts boost the precious metal’s appeal.
Futures in New York rise 1.9% to $4.281.70 a troy ounce after reaching $4,283.90 earlier, while spot gold is up 1.6% to $4,207.77 an ounce. Bullion has gained nearly 8% this week, also supported by growing political uncertainty in the U.S.
“With the government shutdown now in its fifteenth day, markets have lost reliable guidance from economic releases and instead are anchoring on trade flows and risk sentiment,” analysts at Sucden Financial say. “The longer this standoff continues, the more sensitive markets become to unexpected data in either direction.”