Gold hit another record high of $3,854 per ounce, driven by concerns over a potential US government shutdown, prompting investors to seek safe-haven assets. So far this year, gold prices have risen 46%, marking their best annual rate since 1979. Meanwhile, Treasury yields maintained their gains after a previous rally, and the US dollar strengthened slightly following President Donald Trump's decision to impose a 10% tariff on lumber imports. In Asia, stocks rose 0.2%, marking their sixth consecutive month of gains, with Zijin Gold International surging 66% on its Hong Kong trading debut.

However, market sentiment remains clouded by US political uncertainty. Vice President JD Vance said a government shutdown is likely after meetings between Trump and congressional leaders failed to reach an agreement before an October 1 deadline. Investors are concerned that a shutdown could delay the release of key data, including the nonfarm payrolls report, which is crucial for the Federal Reserve in determining its path to interest rate cuts. According to Kathy Jones of Charles Schwab, the delayed labor market report could increase market anxiety regarding the direction of the Fed's monetary policy.

At the time of writing, the gold price was at $3,854.

Disclaimer:

This article is analytical in nature and is not a definitive reference. Consider fundamental and technical developments in trading before making any investment decisions.

Source: Newsmaker.id