Gold Calms, Next Direction Lurks
Gold prices are holding steady after a three-day rally. Early in Wednesday's session, bullion briefly broke through US$4,145 per ounce, then pared gains. At 9:48 a.m. Singapore time, gold edged up 0.2% to US$4,134.01, while the Bloomberg Dollar Index rose 0.1%.
Data-wise, the ADP report showed that US companies cut an average of 11,250 jobs per week through October 25. This weak labor market signal boosted hopes for further interest rate cuts, which is generally positive for gold as it does not bear interest.
Market participants are also awaiting a series of official releases as the US government prepares to reopen following the Senate's passage of temporary funding. The clarity of official data could clear the fog over interest rate policy projections. Gold remains below last month's record high above US$4,380 due to profit-taking, and gold-backed ETFs have posted three consecutive weeks of outflows.
Speculatively, gold is still soaring more than 55%—its best run since 1979, supported by central bank purchases. According to Charu Chanana (Saxo Markets), prices have the potential to consolidate before a new surge in 2026, as capital flows widen from "overheated" assets like gold and AI stocks. Silver rose 0.2%, while platinum and palladium also gained slightly. (asd)
Source: Newsmaker.id
