Gold Prices Reach Unprecedented Record High of $4,200 per Ounce
Gold prices reached an unprecedented record high of $4,200 per ounce on Wednesday, October 15, 2025, driven by growing expectations of monetary easing by the US Federal Reserve (Fed) and the resurgence of trade tensions between Washington and Beijing.
Market Data
According to market data, the spot gold price rose by 1.4% to $4,200.11 per ounce at 06:59 GMT, while December futures contracts gained 1.3% to $4,218. This surge comes after US President Donald Trump announced the upcoming release of a list of "Democratic programs" to be suspended as part of the partial shutdown of the federal government, fueling political uncertainty in Washington.
Analyst Insights
"The US government shutdown and Jerome Powell's cautious comments have provided new catalysts for the precious metal's rally," explained Matt Simpson, chief analyst at StoneX. Fed Chairman Jerome Powell highlighted that the labor market remains fragile, while affirming that the US economy could stabilize more quickly than expected. He noted that the Fed's decisions would now be made "meeting by meeting," based on the evolution of the labor market and the trajectory of inflation.
Market Expectations
Financial markets are now betting on a 25 basis point cut in the benchmark interest rate this month, followed by a likely further reduction in December. Since the beginning of the year, gold has surged by nearly 59%, driven by the multiplication of geopolitical risks, sustained buying by central banks, and increased demand for safe-haven assets in a context of dollar weakness.
Other Precious Metals
On the other hand, silver rose by 2% to $52.48 per ounce, after reaching a historic record of $53.60 yesterday, driven by reduced supply on the market. Platinum traded up 1.3% at $1,658.65, while palladium gained 0.9% to $1,538.75.
Key Takeaways
- Gold prices reach unprecedented record high of $4,200 per ounce
- Growing expectations of monetary easing by the US Federal Reserve drive price surge
- Resurgence of trade tensions between Washington and Beijing contributes to price increase
- Silver, platinum, and palladium also rise, driven by reduced supply and increased demand for safe-haven assets.
