NEW YORK / RankWire.AI / – Gold prices extended their gains for a third consecutive day on Tuesday, continuing a rebound that started late last week. The spot price increased by 1% to reach $4,432.74 an ounce by 0217 GMT, marking its highest point since June 5 and surpassing the seven-week high recorded last week. U.S. gold futures also climbed 1.7% to $4,492.60 as traders monitored new economic data and shifting expectations regarding interest rates.
The upward movement followed the release of Friday’s U.S. employment report, which indicated a decline of 23,000 nonfarm payrolls in July. The unemployment rate edged down to 4.1% from 4.2% in June. During the same month, average hourly earnings increased by two cents to $37.62. The Bureau of Labor Statistics also noted that payroll growth averaged 34,000 jobs per month over the past year. Gold experienced a 2.4% rise on Friday after these labor market figures impacted financial markets.
Interest rate policies in the U.S. remain a critical reference point for gold, given that the metal does not generate interest income. The Federal Reserve maintained its benchmark rate within a range of 3.5% to 3.75% at its July meeting. The decision was supported by a 9-3 vote, with three officials advocating for a quarter-point increase. The central bank also reported ongoing solid economic activity, despite inflation remaining above its 2% target.
Next focus shifts to inflation reports
Investors are now awaiting the release of the July Consumer Price Index on Wednesday, August 12. In June, consumer prices fell by 0.4% compared to the previous month, but remained 3.5% higher than a year earlier. Energy prices increased by 15.7% over the year, while food costs rose 3%. The July CPI will provide updated insights into consumer inflation as gold trades at its strongest point in over two months.
The Producer Price Index for July is set to follow on Thursday, August 13. June saw producer prices for final demand decline by 0.3%. Gold continued its upward trajectory on Monday, when spot prices increased by 0.8% to $4,376.56 an ounce, following Friday’s surge. Tuesday’s gains pushed the bullion past $4,400 and extended the three-day rally, after a brief decline earlier Monday when prices dipped from their seven-week high in the previous session.
Precious metals market broadens its gains
Tuesday’s trading saw silver, platinum, and palladium all advance. Spot silver increased by 0.9% to $66.30 an ounce. Platinum rose 0.7% to $1,765.26, while palladium gained 0.8% to $1,394.00. The gains came amid a week focused on U.S. inflation reports and renewed attention on interest rate movements. Gold remained the top performer among major precious metals after extending its rise from Friday’s employment-driven increase.
This latest climb marks a reversal from gold’s brief dip early Monday, when prices fell from their previous seven-week high. The metal recovered later in the session and added further gains on Tuesday. Spot gold remains below the record levels seen in January 2026, when prices exceeded $5,500 an ounce. With gold now at its highest since early June, upcoming consumer and producer inflation reports will serve as key market indicators moving forward.