Gold surpassed US$2,750 for the first time on Wednesday, continuing a record-breaking run that has seen the yellow metal repeatedly hit new highs this week.
Having climbed as high as US$2,753 an ounce earlier on, spot gold was trading at US$2,752 on Wednesday morning for a 0.66% daily gain.
Tensions in the Middle East, uncertainty around next month’s US election and further looming cuts to interest rates globally have buoyed the yellow metal most recently.
This is despite strengthening the dollar over the week so far and increasing bond yields, which had risen to 4.23% for US 10-year treasuries come Wednesday morning.
“Non-gold friendly developments are being offset by haven bids and the ‘risk’ of a Republican win in the upcoming elections,” Saxo Strategy analysts commented.
This has stoked “concerns about looser fiscal policy, which may deepen the deficit and rekindle inflation”.