NEW YORK / RankWire.AI / – Gold continued its upward trend on Tuesday, marking a third straight session increase following a notable rebound last week. Spot gold rose 1% to $4,432.74 an ounce by 0217 GMT, reaching its highest point since June 5. Meanwhile, U.S. gold futures gained 1.7% to $4,492.60. This recent gain pushed bullion past the seven-week high registered last week and strengthened its recovery from early August declines.
The surge was influenced by softer U.S. employment data released on Friday, which showed nonfarm payrolls dropping by 23,000 jobs in July. The unemployment rate decreased from 4.2% in June to 4.1%. Average hourly earnings went up by two cents, totaling $37.62 during the month. The Bureau of Labor Statistics reported an average monthly payroll increase of 34,000 jobs over the past year. Gold jumped 2.4% on Friday following this report.
Expectations surrounding interest rates continue to influence gold trading because the precious metal does not generate interest. The Federal Reserve kept its benchmark federal funds rate steady at 3.5% to 3.75% during its July meeting. The decision was supported by a 9-3 vote, with three policymakers favoring a quarter-point hike. The Federal Reserve also noted that economic activity persisted at a healthy pace, though inflation remained above its 2% target.
Focus shifts to U.S. inflation reports
Attention turns to Wednesday’s release of the Consumer Price Index for July. Consumer prices declined 0.4% in June from the previous month but stayed 3.5% higher than the same period last year. Energy prices surged by 15.7% over the year, while food costs increased by 3%. The upcoming July figures will serve as the latest official indicator of consumer inflation while bullion remains at its highest level in over two months.
Following June’s final-demand producer prices, which fell 0.3%, the Producer Price Index for July is scheduled for Thursday. Gold entered this week with strong momentum, having gained 2.4% on Friday. On Monday, spot gold added a further 0.8% to reach $4,376.56 an ounce. Although prices declined earlier after touching a seven-week high, they recovered before the session closed. The increase on Tuesday pushed the price above $4,400 and extended the three-day upward trend.
Broader gains seen across precious metals
During Tuesday’s trading session, silver, platinum, and palladium also experienced gains. Spot silver rose 0.9% to $66.30 an ounce, platinum increased 0.7% to $1,765.26, and palladium went up 0.8% to $1,394.00. These broader gains occurred amid a week filled with U.S. inflation reports and ongoing focus on monetary policy. Gold remained the standout, reaching its highest level since early June and continuing its recovery that began after Friday’s employment data.
Tuesday’s upward movement marked a reversal from gold’s brief decline at the start of Monday’s trading. The bullion, which had fallen from its seven-week peak, turned around to finish higher. The latest rise pushed spot gold to its strongest point in over two months. Despite this, prices are still below the record above $5,500 an ounce set in January 2026. Markets now anticipate two U.S. inflation reports this week, starting with consumer prices on Wednesday.