Gold Shines Amid Expectations of U.S. Interest Rate Cut

Gold prices jumped on Friday, heading for their fourth straight month of gains as investors bet on US interest rate cuts coming next month. The precious metal hit its highest level since mid-November, with other metals like silver and platinum also posting strong weekly gains.

Spot gold climbed 0.8% to $4,189.61 per ounce by 0303 GMT, marking its strongest performance since November 14. The metal is now tracking toward a 3% weekly gain and 3.9% monthly increase. US gold futures for December delivery rose 0.5% to $4,221.30 per ounce.

The rally reflects growing confidence among traders that the Federal Reserve will cut interest rates in the coming month. Lower interest rates typically boost gold's appeal since the metal doesn't pay interest, making it more attractive when yields on bonds and savings accounts drop.

This marks gold's fourth consecutive month of gains, a streak that highlights how persistent inflation concerns and economic uncertainty continue to drive investors toward safe-haven assets. The metal has benefited from a perfect storm of factors: expectations of easier monetary policy, geopolitical tensions, and ongoing worries about global economic stability.

Other precious metals joined the rally. Silver jumped 1.4% to $54.18 per ounce in spot trading. Platinum gained 1.7% to $1,634.82, with both metals posting impressive 7.4% weekly gains. Palladium bucked the trend, falling 0.6% to $1,428.62 per ounce, though it's still heading for a 4% weekly increase.

For commodity traders and precious metals investors, these moves signal continued appetite for hard assets amid monetary policy shifts. The strong performance across multiple precious metals suggests this isn't just about gold's traditional safe-haven status, but broader expectations about how lower interest rates could affect the entire metals complex.