Gold prices surge as U.S. shutdown deal lift precious metals

November 11, 2025 (MLN): Gold prices climbed for a second consecutive session on Tuesday, touching their highest level in nearly three weeks.

The rise was fueled by growing optimism that the U.S. Federal Reserve will implement another interest rate cut in December and by encouraging developments toward ending the prolonged U.S. government shutdown.

Spot gold rose 3.23% to $4,129.58 per ounce as of [10:36 am] PST, according to data reported by Mettis Global.

December gold futures increased by 0.7%, reaching $4,148.80 per ounce.

The advance followed Monday’s Senate approval of a funding bill aimed at reopening the federal government, marking the likely conclusion of the country’s longest-ever shutdown.

The closure had delayed key economic data releases, including the non-farm payrolls report, leaving investors uncertain about the health of the economy.

A government reopening is expected to bring much-needed clarity regarding both economic performance and the Fed’s policy outlook.

U.S. employment declined in October, largely due to job losses in the government and retail sectors. Meanwhile, consumer sentiment fell to its weakest level in more than three years earlier this month, reflecting growing anxiety over the economic impact of the shutdown.

Market data from the CME Group’s FedWatch tool indicates traders now see about a 64% chance that the Fed will lower rates by 25 basis points in December.

Fed Governor Stephen Miran added weight to this view on Monday, suggesting that a larger, 50-basis-point cut might be justified, citing cooling inflation and rising unemployment.

Gold, which does not yield interest, typically benefits from lower interest rates and uncertain economic conditions.

In other precious metals, spot silver advanced 0.8% to $50.94 per ounce, platinum rose 0.4% to $1,584.40, and palladium gained 1.4% to $1,435.43.

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