Spot gold price surpasses $4,000 per ounce for first time ever

Spot gold increased by 53% YTD in 2025

The spot price of gold surpassed the $4,000 per ounce threshold for the first time in history, driven by investors seeking safe-haven assets amid ongoing economic and geopolitical uncertainty, as well as expectations of interest rate cuts by the US Federal Reserve.

During Wednesday’s trading, gold futures for December delivery rose by 1.1%, or $43.90, reaching a record high of $4,048.30 per ounce.

The spot price of gold also increased by 1.1%, or $44.42, reaching $4,029.27 per ounce at 8:09 AM Makkah time, marking its highest level ever recorded.

Meanwhile, the US Dollar Index, which measures the dollar’s performance against a basket of six major currencies, gained about 0.3%, trading at 98.89 points.

Silver futures for December delivery climbed by 1.65% to $48.31 per ounce, while spot platinum prices jumped 2% to $1,661.12, and spot palladium rose 1.65% to $1,371.32 per ounce.

Spot gold increased by 53% year-to-date (YTD), following a 27% rise in 2024. This surge comes amid political turmoil in France and Japan, as well as the ongoing US government shutdown, which entered its seventh day on Tuesday.

Currently, investors expect the Federal Reserve to implement an additional 25 basis point (bps) rate cut at its meeting later this month, with another 25 bps cut anticipated in December, according to Reuters.