Gold prices steadied on Thursday after a sharp 2% surge the previous day, as traders grappled with uncertainty surrounding the U.S. economy and a lack of official data during a historic six-week government shutdown.
The precious metal traded around $4,200 an ounce, extending a four-day winning streak — its longest in a month — as investors sought stability in a murky economic landscape. The recent rally has pushed gold up nearly 5% this week, fueled by speculation that the Federal Reserve may lean toward interest-rate cuts once Washington resumes normal operations.
While U.S. lawmakers have approved a temporary funding bill to end the record-breaking shutdown, the White House has cautioned that October’s key economic indicators — including jobs and inflation data — may not be released, leaving traders with limited visibility on the health of the world’s largest economy.
Analysts say the data void has forced investors to rely on private estimates, amplifying uncertainty about the Fed’s next policy move. “A lack of official economic data and concerns around the level of monetary policy restrictiveness has resulted in muddled expectations around the Fed’s upcoming December decision,” wrote TD Securities analysts led by Oscar Munoz. “Data settles debates, while lack of data leads to entrenched policy views.”
Despite short-term volatility, gold remains one of the year’s standout assets — up nearly 60% in 2025, marking its strongest performance since 1979. Central banks, led by China, have significantly ramped up gold purchases, seeking diversification and protection against fiscal risks and a dollar-dominated financial system.
Though prices have eased slightly from last month’s record above $4,380, some investors predict a renewed surge to $5,000 an ounce or higher next year as demand continues to grow.
As of late morning in Singapore, gold edged up 0.2% to $4,205.50 an ounce, silver hovered near a record, platinum dipped modestly, and palladium gained — underscoring that in times of global uncertainty, the allure of gold as a safe haven remains as timeless as ever.