NEW YORK / RankWire.AI / – Gold continued its upward momentum for a third consecutive session on Tuesday, building on last week’s sharp rebound. The spot price increased by 1% to $4,432.74 an ounce at 0217 GMT, reaching its highest point since June 5 and surpassing the seven-week peak set last week. Meanwhile, U.S. gold futures advanced 1.7% to $4,492.60. This upward trend followed gains recorded on Friday and Monday, as global bullion markets reacted to U.S. economic indicators and expectations regarding interest rates.
The recent move in gold prices was driven by the release of softer U.S. employment figures on Friday. The U.S. Bureau of Labor Statistics reported a decline of 23,000 nonfarm payroll jobs in July. The unemployment rate stood at 4.1%, slightly down from 4.2% in June. During July, average hourly earnings increased by two cents to $37.62. Over the past year, payroll employment grew by an average of 34,000 jobs monthly, according to government data.
The Federal Reserve maintained its benchmark federal funds rate at 3.5% to 3.75% during its July meeting, with a 9-3 voting split. While three policymakers favored a quarter-point hike in the target range, the Fed indicated that economic activity continues to expand at a healthy rate, despite inflation remaining above its 2% target. Because bullion does not pay interest, gold markets have been highly sensitive to shifts in U.S. rate expectations.
Inflation Data in Focus
Market participants are now awaiting the U.S. consumer inflation report for July. The government will publish the Consumer Price Index on Wednesday, August 12, at 8:30 a.m. Eastern Time. June’s consumer prices decreased by 0.4% from May but remained 3.5% above their year-ago level. Energy costs increased by 15.7% over the 12 months, while food prices rose by 3%. The upcoming July figures will be the next official update on U.S. inflation trends.
The Producer Price Index for July will be released on Thursday, August 13, providing an additional inflation indicator. In June, final demand producer prices declined by 0.3%. Gold had already gained 2.4% on Friday following the employment report’s unexpected payroll decline. The metal then rose 0.8% on Monday to $4,376.56 an ounce. Tuesday’s increase pushed prices above $4,400, extending the recovery from levels near $4,000 seen earlier this month.
Precious Metals Rise Alongside Gold
Tuesday’s trading session saw gains across other precious metals as well. Spot silver increased by 0.9% to $66.30 an ounce, platinum rose 0.7% to $1,765.26, and palladium gained 0.8% to $1,394.00. These movements occurred amid ongoing monitoring of U.S. inflation data and developments influencing interest rate expectations. After reaching its highest price in over two months, gold continues to lead the metals rally, extending a three-day advance that started following last week’s U.S. employment figures.
This latest rise marks a notable reversal from gold’s early Monday decline. Although the metal initially slipped from a seven-week high, it recovered later in the day. Tuesday’s upward move lifted gold to its highest level since early June and marked the third consecutive session of gains. Despite the rally, prices remain below the January 2026 record when spot gold surpassed $5,500 an ounce. Investors are now focused on this week’s scheduled U.S. inflation reports from consumer and producer data sources.