Gold advanced on Wednesday to trade above $3,643 an ounce as investors positioned ahead of key US inflation data and next week’s Federal Reserve policy meeting.
Bullion briefly peaked above $3,674 on Tuesday after US payroll figures were revised sharply lower.
A preliminary update showed that job counts will likely be reduced by a record 911,000, strengthening expectations that the Fed will deliver further interest-rate cuts to support the economy.
The upcoming release of US producer price data on Wednesday and consumer price figures on Thursday will be closely watched, as they are expected to shape the Fed’s near-term policy outlook.
Markets are already pricing in an extended easing cycle, with traders forecasting cuts that could run through March 2026.
Gold has rallied almost 40 percent this year, supported by sustained central bank purchases, inflows into exchange-traded funds, and heightened geopolitical risks.
Analysts at ANZ Group Holdings Ltd. raised their year-end price target to $3,800, citing labor market concerns and expectations of an additional 200 tons of ETF inflows by year-end.
Geopolitics has also underpinned demand as US President Donald Trump has threatened new tariffs on India and China to pressure Russia on Ukraine, while Israel carried out a rare strike on Hamas leadership in Doha this week. Such developments have boosted gold’s appeal as a safe-haven asset.
Meanwhile, central banks in China, India, and the Czech Republic reported higher gold reserves, reinforcing the metal’s role as a store of value.
Gold was 0.5 percent higher at $3,643.44 an ounce, while silver traded above $41 an ounce earlier in Singapore. Platinum and palladium also recorded gains, supported by broader demand for precious metals.