Gold surges to highest since October 21 as US ten-year yield hits post-November low

Gold extended its gains on Thursday, with the spot price rising 1.8 percent to USD 4,199.63 per ounce in early New York trade and later touching USD 4,208.98, the highest level since October 21, 2025, CNBC said. December futures added 2.1 percent intraday to USD 4,202.20 and settled up 2.4 percent at USD 4,213.60.

The advance came as the US 10-year Treasury yield fell by about 1 percent to its lowest reading since November 5, The Nation reported. Lower yields reduced the opportunity cost of holding bullion and fueled expectations that the Federal Reserve would adopt a softer stance.

“The government is opening up in the U.S. and the market is anticipating the release of economic data, which is likely to show that the American economy has weakened,” said Bart Melek, head of commodity strategy at TD Securities, according to The Nation. Melek added that traders could build long positions as the shutdown ends.

The House of Representatives planned a Thursday vote on a deal to end the 42-day government shutdown, the longest in U.S. history. The closure halted official economic reports, and a reopening would restart data flow and support expectations for a rate cut at the Federal Reserve’s December 2023 meeting, El Economista observed.

Fed-watching tools pointed in the same direction. Investors priced a 65 percent chance of a quarter-point reduction in December 2023, according to Dân Trí, while CME Group data showed an identical probability for a similar move in December 2025, Vietnam Plus noted.

A cooling labor market reinforced the case for easing. An ADP survey showed that private employers cut an average of 11,250 jobs a week from September 27 to October 25, 2023, Dân Trí and El Economista wrote.

Gold usually rises when interest rates fall. “If political or financial risks escalate, gold prices could very well head towards the USD 4,700 per ounce mark,” UBS said.

Silver also joined the rally. Spot prices climbed 3.96 percent to USD 53.26 per ounce while inventories remained “very low,” said Bob Haberkorn, strategist at RJO Futures, according to El Economista. “What is being seen right now in gold is a consequence of the fall in silver on Wednesday,” he added.

Domestic markets echoed the move. Saigon Jewelry Company Limited listed SJC bars at 150–152 million VND per tael on November 13, up 1.8 million from the prior session, Vietnam Plus reported. The bid–ask spread stayed at 2 million. Dân Trí noted that some Hanoi shops limited buyers to two chi and capped daily sales at 50–60, while outlets permitting larger orders saw lighter traffic. Prices remained below the October 21, 2023 record of 153.6–154.6 million.

Legal developments could also sway bullion. The US Supreme Court set January 21 arguments on whether President Donald Trump may dismiss Fed Governor Lisa Cook. A ruling in Trump’s favor could cause gold prices to rise due to the Fed losing independence and being more politically influenced while the opposite verdict might weigh on the metal.

Written with the help of a news-analysis system.