Gold prices steadied in Asian trading on Wednesday after briefly touching a new record high above $3,500 per ounce. Ongoing concerns over global fiscal stability and U.S. trade tariffs kept investors focused on safe-haven assets.
The rally was capped by a stronger U.S. dollar. The greenback recovered most of its recent losses as a global selloff in government bonds pushed traders back into U.S. markets. Still, gold and other precious metals remained supported, holding on to solid weekly gains.
Spot gold traded at $3,534.61 per ounce, while December gold futures climbed 0.3% to $3,601.15 by 00:26 ET (04:26 GMT). Earlier in the session, spot gold hit a record $3,547.09.
Gold supported by fiscal and trade risks
This week’s surge in gold followed a U.S. appeals court ruling that most of President Donald Trump’s tariffs were illegal, with only temporary approval until mid-October. Trump vowed to appeal to the Supreme Court. If overturned, the decision could force Washington to renegotiate trade deals, raising more uncertainty in global markets.
Rising global bond yields also reflected mounting concerns over high debt levels in developed economies. While this fueled demand for safe havens like gold, it also strengthened the dollar, limiting further price gains.
Traders now await U.S. nonfarm payrolls data later this week, which will shape expectations for Federal Reserve policy. Markets are pricing in a 90% chance of a 25-basis-point rate cut in September, according to CME FedWatch. Expectations of lower rates have supported metals in recent weeks.
Other precious and industrial metals
Among precious metals, spot platinum slipped 0.6% to $1,402.46 per ounce but stayed near a one-month high. Spot silver dipped 0.3% to $40.75 after recently hitting a 14-year peak.
Copper prices briefly crossed $10,000 a ton in London for the first time since March, driven by optimism over stronger demand from China. However, London copper futures later eased 0.2% to $9,978 a ton, while COMEX copper fell 0.3% to $4.6285 per pound.
Reports suggest Beijing is preparing new stimulus measures to support growth. August PMI data showed some resilience in China’s economy, but further action may be needed to boost demand.
