Gold futures advanced 0.1% to $4,683.85 an ounce on Monday, consolidating gains after spot prices briefly traded above $4,620 and the metal approached a three-month peak. Spot gold last stood at $4,627.69, up 0.5% on the day, while silver fell 0.3% to $68.79 and platinum declined 0.4% to $1,872.74.
The advance follows a 5% surge in gold over the prior week, its third straight weekly gain, and a 1.9% rise on Friday. The move has pushed bullion above its 200-day moving average near $4,513 and cleared key support levels above $4,000, with analysts noting the next major technical resistance around $4,700. The U.S. Dollar Index held little changed at 98.82, near its lowest level in more than three months.
The rally was driven by the U.S. Treasury’s surprise decision to increase purchases of longer-dated government debt, a step aimed at containing longer-term borrowing costs. Treasury Secretary Scott Bessent said the administration could expand the buyback program and plans to unveil further fiscal measures to address elevated government borrowing expenses. The national debt surpassed $40 trillion for the first time over the weekend.
ANZ analysts highlighted that the intervention has heightened concerns over U.S. fiscal sustainability, with gold’s move above $4,500 supported by expectations of controlled long-term yields and a weaker dollar. They added that the shift in investor positioning reflects growing diversification amid fiscal uncertainty, elevated debt levels and policy unpredictability. Gold-backed ETFs recorded their largest single-day inflow since September 2025, extending a five-week streak of net inflows.
