Overview

• Spot prices briefly traded above $4,000 per ounce for the first time on Wednesday, with quotes near $4,000 and December futures around $4,020–$4,025 in early trading.
• Investors sought safety as economic and geopolitical uncertainty intensified, including a U.S. government shutdown and political strains in Europe and Japan.
• Markets are pricing near-term Federal Reserve rate cuts, a shift that typically lowers real yields and supports bullion.
• The rally has been reinforced by central-bank purchases, renewed inflows into gold-backed ETFs, a softer dollar, and strong retail buying, with analysts noting fear of missing out.
• Gold is up roughly 52% year to date after a 27% gain in 2024, underscoring a multi-period advance that accelerated through early October.