Gold Prices Rise Over 1% to New Record Levels

Gold prices continued to rise during trading on Wednesday, supported by increased demand for safe-haven assets amid global economic and political uncertainty, as well as investor expectations regarding the potential for a reduction in U.S. interest rates.
Futures prices for December gold rose by 1.35%, or $53.5, reaching $4,057.9 per ounce, after hitting a record level of $4,071.5.
The spot price of gold also increased by 1.3%, or $51.8, to $4,034.42 per ounce, as of 2:26 PM Mecca time.
In related news, the dollar index—measuring the performance of the U.S. dollar against a basket of six major currencies—rose by about 0.25%, reaching 98.83 points.
Meanwhile, December silver futures rose by 2.4%, reaching $48.645 per ounce, while spot platinum prices increased by 1.9% to $1,649.39, and palladium prices jumped by 4.1% to $1,392.18.
Gold has gained 54% since the beginning of the year, having risen by 27% last year, making it one of the best-performing assets this year, amid expectations of interest rate cuts from the Federal Reserve and ongoing political and economic uncertainty.
Rona O’Connell, Chief Metals Analyst at StoneX, noted that the factors supporting gold’s rise have not changed significantly, but the U.S. government shutdown has added a new layer of concern, prompting investors to hedge through the precious metal, according to Reuters.