Gold prices rise slightly as investors weigh U.S. fiscal challenges and upcoming labor market data. On Wednesday, gold climbed while traders focused on looming tariffs and rising debt levels in the United States.
Spot gold moved up 0.1% to $3,342.04 per ounce by 10:25 GMT. Meanwhile, U.S. gold futures gained 0.1%, trading at $3,352.80. These small gains reflected market unease around economic uncertainty and policy shifts.
Gold prices rise slightly due to increased demand for safe-haven assets. Analysts believe traders are reacting to the approaching July 9 deadline for new U.S. tariffs. Concerns over the growing fiscal deficit also play a major role.
According to Ricardo Evangelista from ActivTrades, traders now seek safety amid fiscal unpredictability. The U.S. Senate recently passed a tax and spending bill that will raise national debt by $3.3 trillion. The bill includes tax cuts, reduced social support programs, and higher military spending.
Giovanni Staunovo, a commodity analyst at UBS, expects continued gold strength. He said debt fears and slower U.S. job growth could keep gold attractive. Market watchers also expect pressure on the Federal Reserve to shift its rate policy.
Recent data revealed a surprising increase in U.S. job openings for May. However, fewer hires suggest a slowdown in labor demand. Investors now wait for more clues from the ADP employment report and the June non-farm payroll numbers.
Gold prices rise slightly even as Fed Chair Jerome Powell holds back from immediate rate cuts. He said the central bank needs more time to assess tariff impacts on inflation.
Additionally, other precious metals also advanced. Silver increased by 0.5% to $36.23 per ounce. Platinum jumped 2.3% to $1,381.88, and palladium gained 1.5% to reach $1,116.26. Gold prices rise slightly as uncertainty dominates economic forecasts, pushing investors toward reliable assets.
For more gold price updates, visit DC Brief.
