Gold’s bull run continues, eyes eighth straight weekly gain

October 10, 2025 (MLN): Gold rebounded from early losses on Friday and was poised to notch its eighth consecutive weekly gain, supported by persistent political and economic uncertainty and growing expectations of further U.S. interest rate cuts.

Silver, meanwhile, hovered just below a record high.

Spot gold was down 1.12% at $3,992.26 an ounce as of [4:35 pm] PST, according to data reported by Mettis Global.

U.S. gold futures for December delivery rose 0.8% to $4,005.30 per ounce.

The non-yielding metal, traditionally viewed as a safe haven during periods of instability, has drawn strong demand amid global market turbulence.

“Gold is no longer just a defensive asset it’s becoming an offensive one,” said Alex Ebkarian, COO at Allegiance Gold to CNBC.

 “In this environment, it stands as the strongest alternative to the dollar and a true measure of trust in the global financial system.” Ebkarian added that gold is in a “secular bull market” likely to last the next five years.

The rally has been fueled by a combination of geopolitical risks, robust central bank purchases, inflows into gold-backed exchange-traded funds, and expectations of U.S. rate cuts.

On the other hand, Silver climbed 3.7% to $50.95 per ounce, following a record high of $51.22 reached on Thursday.

The metal has surged 76% so far this year, supported by tight supply conditions and speculative momentum.

“Given the rise in lease rates, a steep backwardation curve, and limited liquidity in the London over-the-counter market, greater volatility in silver should be expected,” said Hugo Pascal, a precious metals trader at InProved.

Backwardation occurs when a commodity’s spot price exceeds its future price. Ebkarian noted that if contango the opposite of backwardation returns and market stress eases, a short-term pullback in silver could emerge, potentially offering “the next great buying opportunity.”

The U.S. dollar index slipped 0.3%, making dollar-denominated bullion more affordable for foreign investors.

Minutes from the Federal Reserve’s September meeting indicated policymakers were open to cutting rates to cushion the labor market, though inflation concerns lingered, CNBC reported.

Markets are currently pricing in two rate cuts of 25 basis points each in October and December.

In geopolitical developments, Israel’s government ratified a ceasefire with Hamas on Friday, marking a potential step toward easing tensions in the region.

Copyright Mettis Link News