Gold prices gain as traders bet on December fed rate cut

November 10, 2025 (MLN): Gold prices surged more than 1% on Monday, supported by growing expectations of a U.S. Federal Reserve interest rate cut in December and a series of weak economic reports that deepened concerns about a global slowdown.

Spot gold rose 1.91% to $4,076.59 per ounce as of [12:00 pm] PST, according to data reported by Mettis Global.

U.S. gold futures for December advanced 1.3% to $4,062.40 per ounce.

“Gold is catching a solid bid from traders to kick off the week, with the precious metal rising on anticipation that a rate cut could still arrive next month, even though the Fed has been downplaying the chances of it occurring,” said Tim Waterer, Chief Market Analyst at KCM Trade to CNBC.

Recent U.S. data showed the economy lost jobs in October, particularly in the government and retail sectors. Analysts attributed the decline to ongoing cost-cutting measures and a wave of layoffs driven by companies embracing artificial intelligence technologies.

Meanwhile, U.S. consumer sentiment fell to its lowest level in nearly three and a half years in early November, amid concerns over the economic fallout from the nation’s longest-ever government shutdown, according to a survey released Friday.

Furthermore, Ukraine- Russia tention has added fuel to the fire leading to further positivity in Gold rates.

Market odds of a December Fed rate cut have risen to 67%, data from the CME FedWatch Tool showed.

Lower interest rates typically benefit non-yielding assets like gold, which tend to perform well during periods of economic uncertainty.

In Washington, the U.S. Senate appeared ready to advance legislation to reopen the federal government and end the 40-day shutdown that has disrupted federal services, delayed food aid, and snarled air travel.

“While it looks like we could be moving towards an end to the shutdown, this also means greater visibility over key economic indicators, which have been short on the ground since the shutdown commenced,” Waterer added.

Holdings in Gold Trust, the world’s largest gold-backed exchange-traded fund, rose 0.16% to 1,042.06 metric tons on Friday from 1,040.35 tons the previous day.

Among other precious metals, spot silver gained 1.8% to $49.18 per ounce, platinum rose 1.3% to $1,565.36, and palladium advanced 0.7% to $1,389.94.

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