Precious metals surge on inflation concerns, central bank demand, and expectations of Federal Reserve rate cuts.
Gold prices rose above $4,710, marking a 3.4% gain, while silver jumped 6.4% to $77.46 as the precious metals rally accelerated. The moves reflect growing investor bets on Federal Reserve interest rate cuts amid persistent inflation signals.
The surge follows a broader trend of central bank buying and heightened demand for safe-haven assets. Earlier sessions saw modest gains, but today’s rally outpaced consensus expectations, driven by geopolitical tensions and weaker-than-expected economic data.
Markets reacted swiftly, with commodities and equities adjusting to the shift in rate-cut expectations. The dollar weakened slightly, amplifying the appeal of non-yielding assets like gold and silver.