GOLD touched a record high on Wednesday (Oct 30), with US election jitters supporting bullion prices, while investors await a raft of US economic data that could shed light on the Federal Reserve’s interest rate trajectory.
Spot gold was up 0.1 per cent at US$2,778.27 per ounce, as at 0026 GMT. Bullion inched up to an all-time high of US$2,778.79, marking a significant bullish run in the market.
US gold futures rose 0.4 per cent to US$2,790.60.
The Nov 5 US election has entered its final stretch, with uncertainty lifting bullion demand as opinion polls show the race to the White House remains tight.
Data on Tuesday from the US Labor Department’s Job Openings and Labor Turnover Survey, or JOLTS, showed job openings fell to a more than 3½-year low in September and data for the prior month was revised down, a sign of a continually cooling labour market.
Additionally, US consumer confidence, on the other hand, exceeded estimates with an October reading of 108.7, a nine-month high, up from 99.2 the previous month.
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Following the data, Fed policymakers are nearly certain to deliver a quarter-point reduction in short-term borrowing costs next week.
Now attention will turn towards ADP employment due later in the day, US Personal Consumption Expenditures, and payrolls report to further gauge the Fed’s policy stance, with its next rate decision on Nov 7.
Bullion thrives in a low interest-rate environment and is considered a hedge against political and economic uncertainty.
At least 93 Palestinians were killed or missing in an Israeli strike in northern Gaza, the Gaza health ministry said.
On the physical level, Indian buyers of gold brushed off record-high prices and made purchases for the Dhanteras and Diwali festivals starting on Tuesday, hoping bullion would continue to rally and deliver promising returns amid a cooling stock market.
Spot silver gained 0.2 per cent to US$34.51 per ounce, palladium rose 0.5 per cent to US$1,050.42, while platinum fell 0.9 per cent to US$1,211.37. REUTERS
