Gold hit yet another new high on Wednesday, surging as investors sought out safe-haven assets amid uncertainty about the U.S. government shutdown.
The most actively-traded futures contract climbed 1.1% to a record $3,916 an ounce in early trading after the Senate failed to pass a temporary funding bill, which meant the government shut down just after midnight on Wednesday.
Gold prices are now up 48% in 2025, putting the precious metal on track for its best year since 1979. Demand for bullion has surged due to a combination of geopolitical uncertainty and the expectation that the Federal Reserve will carry on cutting interest rates, which tends to boost bullion’s appeal relative to other safer investments that have yields.
