Gold prices surged to fresh record highs in early Asian trading on Monday, supported by a sharp weakening in the Japanese yen and persistent expectations of further U.S. rate cuts amid political and economic uncertainty in Washington.<\/p>\n\n\n\n
Spot gold climbed as much as 1% to $3,926.63 an ounce<\/strong>, while December gold futures<\/strong> rose 1.1% to $3,951.32<\/strong>, marking another all-time high for bullion. The metal extended last week\u2019s momentum as traders sought safe-haven assets amid ongoing instability in U.S. fiscal negotiations.<\/p>\n\n\n\n Gold\u2019s latest upswing coincided with a steep drop in the yen following Sanae Takaichi\u2019s<\/strong> election as the new leader of Japan\u2019s ruling Liberal Democratic Party, paving her way to become the country\u2019s next prime minister.<\/p>\n\n\n\n The USD\/JPY<\/strong> pair spiked 1.4% to 149.58<\/strong>, its sharpest intraday move in weeks, after markets interpreted Takaichi\u2019s stance as fiscally and monetarily dovish<\/strong>, likely favoring continued Bank of Japan (BOJ)<\/strong> stimulus and opposing any near-term tightening.<\/p>\n\n\n\n The yen\u2019s decline eroded its traditional haven appeal, driving capital flows into gold, which now appears to be the preferred hedge against both currency volatility and political instability.<\/p>\n\n\n\n In the U.S., concerns over a federal government shutdown<\/strong> remained in focus as lawmakers failed to agree on a spending bill. The stalemate\u2014now entering its second week\u2014has already disrupted federal services and raised questions about economic growth momentum.<\/p>\n\n\n\n Adding to investor unease, President Donald Trump\u2019s<\/strong> decision to deploy the California National Guard<\/strong> to Portland, Oregon, drew political backlash and lawsuits from both states, amplifying risk sentiment.<\/p>\n\n\n\n Gold also benefited from heightened expectations of another 25 basis-point rate cut<\/strong> by the Federal Reserve<\/strong> at its October meeting. The CME FedWatch Tool<\/strong> indicated traders are pricing in a 99% probability<\/strong> of further easing after last month\u2019s quarter-point reduction.<\/p>\n\n\n\n Lower interest rates generally reduce the opportunity cost of holding non-yielding assets like gold, making it more attractive to investors.<\/p>\n\n\n\n Other precious metals mirrored gold\u2019s momentum:<\/p>\n\n\n\n However, industrial metals lagged slightly, with LME copper<\/strong> up just 0.2% at $10,731.00 per ton<\/strong> and COMEX copper<\/strong> easing 0.3% to $5.0923 per pound<\/strong>, reflecting ongoing concerns about global manufacturing demand.<\/p>\n\n\n\n Analysts noted that as long as the U.S. government shutdown persists, gold\u2019s rally could continue. A prolonged closure would dampen near-term U.S. data flow, including employment and inflation indicators, making it harder for the Fed to gauge real-time economic conditions.<\/p>\n","protected":false},"excerpt":{"rendered":" Gold prices surged to fresh record highs in early Asian trading on Monday, supported by a sharp weakening in the Japanese yen and persistent expectations of further U.S. rate cuts amid political and economic uncertainty in Washington. Spot gold climbed as much as 1% to $3,926.63 an ounce, while December gold futures rose 1.1% to …<\/p>\n","protected":false},"author":9,"featured_media":110167,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[38,37,36],"tags":[],"class_list":["post-119591","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-commodities-news","category-forex-markets","category-market-updates"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/119591","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=119591"}],"version-history":[{"count":2,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/119591\/revisions"}],"predecessor-version":[{"id":119593,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/119591\/revisions\/119593"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/110167"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=119591"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=119591"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=119591"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Yen Slide Fuels Gold Rally<\/h4>\n\n\n\n
Political Uncertainty in the U.S. Adds Support<\/h4>\n\n\n\n
Rate-Cut Bets Bolster Metals<\/h4>\n\n\n\n
\n
Economic Outlook<\/h4>\n\n\n\n