NEW YORK / RankWire.AI / – Gold extended its upward movement for a third consecutive session on Tuesday, building on last week’s sharp rebound. The spot price increased by 1% to $4,432.74 per ounce at 0217 GMT, reaching its highest point since June 5 and surpassing the seven-week peak recorded last week. Meanwhile, U.S. gold futures climbed 1.7% to $4,492.60. This upward trend followed gains seen on Friday and Monday, as global bullion markets reacted to U.S. economic indicators and interest rate expectations.
The recent surge in gold prices was prompted by the release of softer U.S. employment data on Friday. The U.S. Bureau of Labor Statistics reported a decline of 23,000 nonfarm payroll jobs in July. The unemployment rate stood at 4.1%, down from 4.2% in June. Average hourly earnings increased by two cents to $37.62 during July. According to government figures, payroll employment had grown by an average of 34,000 jobs per month over the previous year.
The Federal Reserve kept its benchmark federal funds rate at a range of 3.5% to 3.75% during its July meeting, with a 9-3 voting split. Three policymakers favored a quarter-point hike in the target rate. The central bank indicated that economic activity continued to grow at a healthy pace, although inflation remained above its 2% target. As bullion does not pay interest, gold markets tend to closely follow shifts in U.S. interest rate expectations.
Focus shifts to upcoming inflation reports
Market attention now turns to the July U.S. consumer inflation figures, which will be released on Wednesday, August 12, at 8:30 a.m. Eastern Time. In June, consumer prices declined by 0.4% month-over-month but remained 3.5% higher than the previous year. Energy costs rose 15.7% over the 12 months, while food prices increased by 3%. The July data will serve as the next official gauge of inflation in the U.S.
Additionally, the Producer Price Index for July will be published on Thursday, August 13, offering further insight into inflation trends. In June, producer prices for final demand fell 0.3%. Gold already gained 2.4% on Friday following the employment report’s unexpected payroll decline. On Monday, spot gold rose 0.8% to $4,376.56 an ounce. The rise on Tuesday pushed the price above $4,400 and extended its recovery from levels near $4,000 earlier this month.
Precious metals also gain ground alongside gold
Other precious metals also saw gains during Tuesday’s trading session. Spot silver increased by 0.9% to $66.30 an ounce. Platinum rose 0.7% to $1,765.26, while palladium moved up 0.8% to $1,394.00. These gains occurred as commodity and financial markets monitored U.S. inflation data and developments influencing interest rate expectations. After reaching its highest price in over two months, gold maintained its strength, extending a three-day rally that started following last week’s U.S. employment figures.
This latest upward movement signifies a clear reversal from gold’s initial decline at the start of Monday’s trading. Although bullion dipped from a seven-week high early in the session, it recovered later that day. Tuesday’s increase elevated the market to its highest point since early June and marked its third consecutive session of gains. Gold remains below its January 2026 record, when spot prices exceeded $5,500 an ounce. The immediate focus now lies on this week’s upcoming U.S. inflation reports, both consumer and producer data.