Gold poised for eighth weekly rise on firm safe-haven demand

Gold edged higher on Friday and headed for its eighth straight weekly gain, as lingering geopolitical and economic uncertainty alongside expectations for interest rate cuts from the U.S. Federal Reserve boosted demand for bullion.

FUNDAMENTALS

* Spot gold was up 0.1% to $3,977.87 per ounce as of 0120 GMT. Bullion is up 2.3% so far this week.


* U.S. gold futures for December delivery gained 0.5% to $3,992.40.

* New York Fed President John Williams signaled on Thursday he would be comfortable with cutting rates again, despite some policymakers' qualms about rising inflation that suggest such a decision won't be easily made.

* Traders currently price in a 25-basis-point cut in October and another in December, with a 95% and 82% chance, respectively, according to CME FedWatch Tool.

* Markets this week have grappled with political turmoil in Japan and France alongside an ongoing U.S. government shutdown, all of which have done little to stoke confidence in investors, who have sought safety in gold.

* The number of Americans filing new applications for unemployment benefits increased again last week, economists estimated on Thursday, hinting at some early layoffs of contractors related to the U.S. government shutdown.

* Bullion surged past $4,000 per ounce for the first time on Wednesday, reaching a record high of $4,059.05. The non-yielding asset, traditionally considered a hedge during geopolitical and economic uncertainty, has gained about 52% this year.

* SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.11% to 1,013.44 metric tons on Thursday from 1,014.58 tons on Wednesday.

* Kotak Mahindra Asset Management Company (KMAMC) has temporarily suspended fresh lump-sum and switch-in investments into the Kotak Silver ETF Fund of Fund, effective October 10, 2025, the company said in a statement on Thursday.

* Elsewhere, spot silver climbed 1.2% to $49.70 per ounce, after hitting an all-time high of $51.22 on Thursday. Platinum rose 0.4% to $1,625.30 and palladium gained 1% to $1,426. DATA/EVENTS (GMT) 0300 China Overall Comprehensive Risk Q4 0300 Japan Overall Comprehensive Risk Q4 1400 US U Mich Sentiment Prelim Oct.