Gold prices scale fresh record highs near $3,700/oz on Fed cut bets

Gold prices reached fresh record levels in Asian trading on Tuesday, nearing $3,700 per ounce, as investors ramped up expectations of a U.S. Federal Reserve interest rate cut later this week and reacted to a softer dollar and easing Treasury yields.

Spot Gold edged higher to $3,679.2 per ounce by 21:43 ET (01:43 GMT), after hitting a record peak of $3,689.32 in early trading. U.S. Gold Futures for December were largely steady at $3,719.20/oz.

Bullion jumped 1% in the previous session amid firm bets of Fed easing, surpassing record levels notched last week.

The rally was underpinned by widespread market belief that the Fed will deliver a 25-basis-point rate cut at the end of its September 16-17 meeting, its first since December 2024.

A weaker U.S. dollar, trading near one-week lows, added further support.

Political developments in Washington also bolstered metal’s safe-haven appeal. The Senate confirmed Stephen Miran, Trump’s economic adviser, to the Fed Board of Governors. Investors viewed the appointment as a sign that the central bank could face stronger pressure to align with White House policy.

Separately, a U.S. appeals court blocked President Donald Trump’s attempt to remove Fed Governor Lisa Cook, meaning she would likely attend this week’s Fed meeting. President Trump is expected to take the matter to the Supreme Court.