London’s precious metals miners were well bid in early trade on Friday, with Fresnillo PLC (LSE:FRES) and Endeavour Mining PLC (LSE:EDV, TSX:EDV, OTCQX:EDVMF) among the strongest risers, as gold extended a powerful rally.
Bullion climbed above $3,650 an ounce, setting a fresh record this week and leaving it almost 2% higher since Monday. Silver also surged past $42 an ounce, its highest level since 2011.
The gains come as traders increasingly expect the US Federal Reserve to start cutting interest rates, possibly as soon as next week.
August inflation data met forecasts, while recent weak labour-market numbers have eased concerns about price pressures. That has given policymakers scope to loosen policy, weighing on the dollar and Treasury yields, both supportive for gold.
The metal has now advanced nearly 40% in 2025, outpacing equities and most commodities, with central-bank buying and heavy inflows into exchange-traded funds adding further momentum.
Bloomberg data showed ETF holdings expanded by almost 25 tons this week alone.
Analysts warned, however, that at such elevated levels, gold trading is increasingly driven by short-term sentiment rather than long-term positioning. Silver may attract fresh interest as a cheaper alternative for investors wanting exposure to the rally.
Fresnillo was up 2%, while Endeavour advanced 1.7%. Pan African Resources PLC (AIM:PAF, OTCQX:PAFRY, JSE:PAN), which is soon to join the FTSE 250, outstripped its bigger peers with a 2.6% gain.