Gold prices edged higher to a fresh record as concerns over a potential US government shutdown clouded the Federal Reserve’s monetary policy outlook ahead of next month’s interest-rate decision.
Bullion briefly touched an all-time high of $3,839.52 an ounce on Tuesday. Prices rallied after a meeting between top congressional leaders and US President Donald Trump ended without an agreement on short-term funding, stoking fears that a shutdown could delay key economic data releases.
Gold has surged more than 45% this year, driven by central-bank demand and expectations of renewed interest-rate cuts by the Fed. The precious metal is on track for a third consecutive quarterly gain, with holdings in bullion-backed exchange-traded funds at their highest since 2022.
US Treasuries also rose on Monday, partly due to shutdown concerns. Lower yields on government bonds tend to support precious metals, which do not pay interest, while a weaker dollar makes dollar-denominated bullion cheaper for international buyers.
Other precious metals showed mixed movements. Silver and platinum paused after reaching multi-year highs in the previous session. Year-to-date, silver is up about 62% and platinum 76%, supported by tight supplies following several years of deficits.
As of 8:17 a.m. in Singapore, spot gold was little changed at $3,837.28 an ounce. Silver stood at $46.94, platinum at $1,604.27, and palladium remained largely steady.
