Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert
Zero fees, no slippage
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
Gold price surpasses $3,500 to reach a record high, driven by bets on Federal Reserve rate cuts

Gold price surpasses $3,500 to reach a record high, driven by bets on Federal Reserve rate cuts

新浪财经新浪财经2025/09/02 05:04
Show original
By:新浪财经

Gold prices have reached record highs, with the prospect of Federal Reserve rate cuts and concerns over its independence injecting new momentum into the precious metal’s rally in recent years.

In early Asian trading on Tuesday, spot gold rose as much as 0.9% to $3,508.73 per ounce, surpassing the previous high set in April; gains have since narrowed. So far this year, gold prices have risen more than 30%, making it one of the best-performing major commodities.

After Federal Reserve Chair Jerome Powell cautiously opened the door to a rate cut in September, market expectations for a rate cut this month have intensified, fueling the latest surge in gold. The U.S. employment report to be released this Friday may add further signs of labor market weakness, which would support a rate cut.

“Investors are increasing their allocation to gold, especially with a Fed rate cut on the horizon, which is pushing gold prices higher,” said Joni Teves, strategist at UBS Group. “Our base case is that gold prices will continue to hit new highs in the coming quarters. A lower interest rate environment, weak economic data, persistently rising macro uncertainty, and geopolitical risks have strengthened gold’s role as a portfolio diversification tool.”

Over the past three years, both gold and silver prices have more than doubled, as rising risks in geopolitics, the economy, and global trade have driven increased demand for these traditional safe-haven assets. This year, Trump’s escalating attacks on the Fed have become a new factor worrying investors, and concerns over the Fed’s independence could undermine confidence in the U.S.

The last time gold surged to record highs was in April, when Trump announced a preliminary plan to impose comprehensive tariffs on most U.S. trading partners. Afterwards, as Trump put some of the most aggressive trade proposals on hold, safe-haven demand cooled, gold prices quickly retreated, and remained range-bound for several months.

“The space above $3,500 is still unknown, so the market will be closely watching price movements. The last time gold broke through $3,500 was during intraday trading, so we are very interested to see if gold can close above this level, as it could bring some upward momentum,” said Christopher Wong, FX strategist at OCBC Bank. “The risk of new geopolitical tensions and policy uncertainty re-emerging still exists, which will be favorable for gold.”

Meanwhile, silver’s rally has been even stronger, rising more than 40% so far this year. On Monday, prices broke above $40 per ounce for the first time since 2011. Silver is also valued for its industrial use in clean energy technologies such as solar panels. Against this backdrop, according to industry group Silver Institute, the market is set for a fifth consecutive year of supply shortages. A weaker dollar has also boosted the purchasing power of major consumer countries such as China and India.

Investors have flocked to silver-backed ETFs, with holdings expanding for the seventh consecutive month in August. This has reduced silver inventories in London, leading to continued tightness in the market. Lease rates—which reflect the cost of borrowing the metal, usually for short terms—remain elevated at around 2%, far above the normal level close to zero.

Concerns over potential U.S. tariffs have also supported precious metals. Last week, silver was added to Washington’s list of critical minerals, which already includes palladium.

As of press time, spot gold was up 0.45% at $3,491.5 per ounce. The Bloomberg Dollar Spot Index was steady. Silver prices were little changed at $40.67 per ounce. Platinum prices rose, while palladium prices fell.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

How much do you have to earn in the crypto world to truly say you've "changed your fate"?

The real risk is not "losing," but "never knowing that you have already won."

ForesightNews 速递2025/09/02 10:33
How much do you have to earn in the crypto world to truly say you've "changed your fate"?

NBER | Using Models to Reveal How the Expansion of the Digital Economy is Reshaping the Global Financial Landscape

Research findings indicate that, in the long term, the reserve demand effect outweighs the substitution effect, resulting in lower U.S. interest rates and an increase in U.S. external borrowing.

Chaincatcher2025/09/02 10:18
NBER | Using Models to Reveal How the Expansion of the Digital Economy is Reshaping the Global Financial Landscape

ETH Takes Center Stage: The True Beginning of the Bull Market’s Second Half

Based on a comprehensive analysis of market structure, capital flows, on-chain data, and the regulatory environment, our judgment is clear: Ethereum is gradually replacing Bitcoin as the core asset in the second half of the bull market.

Chaincatcher2025/09/02 10:18
ETH Takes Center Stage: The True Beginning of the Bull Market’s Second Half