Gold Holds Near Record High Amid Fed Bets and Geopolitical Tensions

Gold hovered around $3,620 per ounce on Wednesday, staying close to a fresh record as investors weighed US monetary policy prospects and rising global uncertainty.

Revised US nonfarm payrolls showed the economy added far fewer jobs than initially estimated over the past year, reinforcing recent weak labor market data. The reports bolstered expectations for multiple Federal Reserve rate cuts in 2025, with markets pricing in a possible 25-basis-point cut at the upcoming meeting. Traders now await key inflation figures later this week for clearer guidance.

On the geopolitical front, President Donald Trump has urged the European Union to impose tariffs of up to 100% on China and India in a bid to pressure Russia over the Ukraine war. Meanwhile, escalating unrest in the Middle East is adding to global risk sentiment and further supporting safe-haven demand.