Gold Hits $3,800 as Dollar Weakens, Shutdown Fears Grow.
Gold surges past $3,800 to record levels, driven by US Dollar weakness and growing concerns over a potential government shutdown.
Gold (XAU/USD) kicks off the week on a strong note, breaking past $3,800 to reach a new record high near $3,815, up about 1.70% on the day, marking its seventh consecutive week of gains.
After consolidating just below last week’s all-time high of $3,791, bullish momentum returned Friday following the US Personal Consumption Expenditures (PCE) inflation report. Although the data met expectations, inflation remains above the Federal Reserve’s 2% target, keeping attention on upcoming labor-market indicators for hints on future Fed policy.
Traders are now focused on Friday’s US Nonfarm Payrolls (NFP) report, with labor-market conditions seen as a key factor for the economy and the Fed’s monetary stance. A softer US Dollar, subdued Treasury yields, ongoing geopolitical tensions, tariff concerns, and the looming risk of a US government shutdown continue to support Gold’s safe-haven appeal.
