Gold prices in Asian trading on Wednesday briefly climbed above $3,500 an ounce, hitting record levels as investors sought refuge amid ongoing concerns over global fiscal health and uncertainty around U.S. trade tariffs. However, the dollar’s recovery, fueled by global bond market selloffs, capped further gains in the yellow metal.
Spot gold traded at $3,534.61 per ounce, while December futures rose 0.3% to $3,601.15/oz. Earlier in the session, spot gold reached an intraday peak of $3,547.09/oz. Precious metals overall have remained on strong footing throughout the week.
The recent surge was initially triggered by a U.S. appeals court ruling that invalidated most of former President Donald Trump’s trade tariffs, limiting them to mid-October. Trump has vowed to appeal to the Supreme Court, and further rulings could force Washington to renegotiate trade deals, adding volatility to global markets.
Rising bond yields in developed economies on Tuesday reinforced risk-off sentiment, supporting gold, while a firmer U.S. dollar restrained gains. Market attention now turns to the U.S. August nonfarm payrolls report, which could influence Federal Reserve policy. Futures currently indicate over a 90% probability of a 25-basis-point rate cut later this month, a factor that has contributed to metals’ recent strength.
Other Metals Show Mixed Performance
Spot platinum declined 0.6% to $1,402.46/oz, staying near a one-month high, while silver slipped 0.3% to $40.75/oz after hitting a 14-year peak earlier this week.
Copper Rides Optimism Over Chinese Demand
Among industrial metals, London copper futures fell 0.2% to $9,978 per ton after briefly surpassing $10,000 a ton—the first time since March. COMEX copper dropped 0.3% to $4.6285 per pound from a one-month high.
Copper’s recent gains have been supported by hopes of stronger demand from China, the world’s largest copper consumer. Media reports suggest Beijing is planning additional stimulus measures. August Purchasing Managers’ Index data indicated moderate resilience in the Chinese economy, though more support may be needed to sustain growth.
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