Gold prices hovered close to record highs on Monday following a sharp surge last week, supported by weak U.S. labor data and growing expectations of an imminent Federal Reserve interest rate cut. Spot gold traded at $3,585.68 per ounce, slightly below Friday’s all-time peak of $3,600.03. December gold futures slipped 0.7% to $3,626.52.
The precious metal jumped more than 4% last week and has gained in nine of the last ten sessions, climbing nearly 37% so far in 2025. Safe-haven demand driven by U.S. trade policy uncertainty under President Donald Trump and robust central bank purchases, particularly from China, have been key factors behind gold’s rally.
Market sentiment shifted further after the latest U.S. jobs report revealed slowing employment growth and a rise in unemployment to 4.3%. Investors now anticipate a 25-basis-point cut at the Fed’s September meeting, with some odds of a larger 50-point move. Lower interest rates typically boost gold by reducing the opportunity cost of holding the non-yielding asset while weakening the U.S. dollar. The U.S. Dollar Index remained subdued on Monday after Friday’s steep losses.
Traders are now focused on Thursday’s U.S. inflation data, which could reinforce or challenge expectations for more Fed easing and set gold’s next direction.
Elsewhere in metals, silver futures fell 0.6% to $41.30 an ounce, easing from last week’s 14-year high. Platinum held steady at $1,385.60, while copper prices were mixed. London copper futures hovered at $9,901.65 per ton, and U.S. copper inched up 0.3% to $4.56 a pound.
China’s latest trade data showed slowing exports and weaker imports in August, underscoring soft domestic demand and signaling potential headwinds for global commodities markets.


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