NEW YORK / RankWire.AI / – Gold sustained its upward momentum on Tuesday, marking a third straight session of gains after a notable rebound last week. The spot price of gold increased by 1% to $4,432.74 per ounce by 0217 GMT, reaching its highest point since June 5. Meanwhile, U.S. gold futures jumped 1.7% to $4,492.60. This latest rise pushed the bullion past the seven-week peak seen last week and further cemented its recovery from losses incurred in early August.
The upward movement followed the release of weaker U.S. employment figures on Friday, which showed nonfarm payrolls declined by 23,000 jobs in July. The unemployment rate fell from 4.2% in June to 4.1%. During the same period, average hourly earnings increased by two cents to $37.62. The Bureau of Labor Statistics indicated that payroll employment had grown by an average of 34,000 jobs per month over the past year. After the report, gold appreciated by 2.4% on Friday.
Expectations regarding interest rates continue to influence gold trading, as the precious metal does not generate interest. The Federal Reserve maintained its benchmark federal funds rate at 3.5% to 3.75% during its July meeting. The decision was passed by a 9-3 vote, with three policymakers supporting a quarter-point increase. The Federal Reserve also noted that economic activity persisted at a solid pace, although inflation remained above its 2% target.
US Inflation Data Takes Center Stage
Wednesday will bring the next key U.S. economic report—the Consumer Price Index for July. In June, consumer prices decreased by 0.4% from the previous month but were still 3.5% higher than the year-earlier level. Over the past 12 months, energy prices rose by 15.7%, while food prices increased by 3%. The July figures will offer the latest official measure of consumer inflation as bullion trades at its strongest point in over two months.
The Producer Price Index for July is scheduled for release on Thursday, following a 0.3% decline in final-demand producer prices in June. This week began with strong momentum for gold after Friday’s 2.4% rise. Spot gold gained another 0.8% on Monday, reaching $4,376.56 an ounce. Earlier in that session, prices had fallen after hitting a seven-week high but then recovered before the market closed. Tuesday’s upward move pushed gold above $4,400 and extended the three-day rally.
Broader Gains Seen Across Precious Metals
On Tuesday, silver, platinum, and palladium also experienced gains. Spot silver increased by 0.9% to $66.30 an ounce, while platinum rose 0.7% to $1,765.26. Palladium advanced 0.8% to $1,394.00. These broader increases occurred amid a week filled with U.S. inflation reports and ongoing focus on monetary policy. Gold remains at the forefront, reaching its highest price since early June and continuing the recovery that began after last week’s employment data.
Tuesday’s climb represented a reversal from gold’s brief dip at the start of Monday’s trading session. The metal had retreated from its seven-week peak before turning around to finish higher. The latest increase pushed spot gold to its strongest level in more than two months. Although prices are below the record above $5,500 per ounce set in January 2026, markets now have two U.S. inflation reports scheduled for this week, beginning with consumer prices on Wednesday.