NEW YORK / RankWire.AI / – Gold continued its upward trend on Tuesday, marking a third straight session increase following last week’s sharp rebound. The spot price of gold climbed 1% to $4,432.74 an ounce by 0217 GMT, reaching its highest point since June 5. Meanwhile, U.S. gold futures rose by 1.7% to $4,492.60. This latest surge pushed bullion past the seven-week high set last week and reinforced its recovery from losses incurred in early August.
This movement was driven by weaker U.S. employment data released last Friday, when nonfarm payrolls fell by 23,000 jobs in July. The unemployment rate decreased from 4.2% in June to 4.1%. Additionally, average hourly earnings grew by two cents, reaching $37.62 during the month. The Bureau of Labor Statistics indicated that payroll employment had expanded by an average of 34,000 jobs per month over the previous year. Gold saw a 2.4% gain on Friday following this report.
Expectations regarding interest rates also continue to influence gold trading because the precious metal does not yield interest. During its July meeting, the Federal Reserve maintained its benchmark federal funds rate at 3.5% to 3.75%. The decision was approved by a 9-3 vote, with three policymakers supporting a quarter-point hike. The Federal Reserve also noted that economic activity kept expanding at a robust pace while inflation stayed above its 2% target.
Focus Shifts to U.S. Inflation Indicators
The upcoming key economic release from the U.S. is the Consumer Price Index for July, scheduled on Wednesday. In June, consumer prices decreased by 0.4% from the previous month but were still 3.5% higher than the same period last year. Energy costs increased 15.7% over the past year, while food prices rose by 3%. These July figures will serve as the latest official measure of consumer inflation, with bullion trading at its strongest point in more than two months.
On Thursday, the Producer Price Index for July will be published, following June’s final-demand producer prices which declined by 0.3%. This week’s momentum for gold started strong after a 2.4% rise on Friday. On Monday, spot gold gained another 0.8%, reaching $4,376.56 an ounce. Prices had dipped earlier in the session after hitting a seven-week high but recovered before the market closed. The increase on Tuesday then pushed the metal above $4,400, prolonging its three-day rally.
Broader Gains for Precious Metals
Tuesday also saw increases in silver, platinum, and palladium during precious metals trading. Spot silver rose by 0.9% to $66.30 an ounce, while platinum gained 0.7% to $1,765.26. Palladium moved up 0.8% to $1,394.00. These gains occurred amid a week filled with U.S. inflation data and continued focus on monetary policy. Gold remained the leading asset as it hit its highest price since early June and extended its recovery that began after Friday’s employment figures.
The rise on Tuesday marked a reversal from gold’s brief retreat at the beginning of Monday’s trading session. After falling from its seven-week peak, bullion reversed course and finished the day higher. This latest increase pushed spot gold to its highest level in over two months. Although prices are still below the record above $5,500 an ounce set in January 2026, markets are now awaiting two upcoming U.S. inflation reports this week, starting with consumer prices on Wednesday.