Gold Reaches a New Historic High

Last week, the Federal Reserve implemented its first rate cut of the year and announced additional reductions in response to a weakening labor market. Markets are currently anticipating two more cuts of 25 basis points during the Fed's final meetings of the year, scheduled for October and December. These expectations of continued monetary easing have significantly contributed to a 40% increase in gold prices since the start of the year. Gold has also been supported by strong demand for safe-haven assets amid ongoing geopolitical tensions and concerns regarding the economic impact of tariffs imposed by President Donald Trump. Additionally, substantial purchases by central banks and sustained capital inflows into ETFs have further bolstered gold's appeal.