NEW YORK / RankWire.AI / – Gold continued its upward trend for a third consecutive session on Tuesday, building on the sharp rebound seen last week. Spot gold increased by 1% to reach $4,432.74 per ounce at 0217 GMT, marking its highest point since June 5 and surpassing the seven-week peak from last week. U.S. gold futures also climbed 1.7% to $4,492.60. The upward movement followed gains on Friday and Monday, with global bullion markets reacting to U.S. economic data and expectations regarding interest rates.
The recent rise in gold prices was driven by the weaker U.S. employment data released on Friday. The U.S. Bureau of Labor Statistics reported a decline of 23,000 nonfarm payroll jobs in July. The unemployment rate decreased to 4.1% from 4.2% in June. Average hourly earnings increased by two cents, reaching $37.62 during July. Over the past year, payroll employment had grown by an average of 34,000 jobs per month, according to government figures.
The Federal Reserve maintained its benchmark federal funds rate at 3.5% to 3.75% during its July meeting, with a 9-3 vote in favor of holding the rate steady. Three policymakers favored a quarter-point hike in the target range. The Fed stated that economic activity has continued to expand at a solid pace, although inflation remains above its 2% target. Since bullion does not yield interest, gold markets have closely monitored shifts in U.S. rate expectations.
Focus shifts to upcoming inflation reports
The spotlight now falls on the U.S. consumer inflation report for July, scheduled for release on Wednesday, August 12, at 8:30 a.m. Eastern Time. In June, consumer prices declined by 0.4% compared to the previous month, yet the index remained 3.5% above its year-earlier level. Energy prices increased by 15.7% over the past year, and food prices rose by 3%. The July data will serve as the next official indicator of U.S. inflation trends.
The Producer Price Index for July will be released on Thursday, August 13, providing another inflation gauge. Producer prices for final demand decreased by 0.3% in June. Gold had already gained 2.4% on Friday following the unexpected payroll decline, and on Monday, spot bullion advanced 0.8% to $4,376.56 an ounce. Tuesday’s rise pushed gold above $4,400 and extended its recovery from levels near $4,000 seen earlier this month.
Other precious metals climb alongside gold
Tuesday’s trading saw gains across other precious metals as well. Silver rose by 0.9% to $66.30 an ounce, platinum increased by 0.7% to $1,765.26, and palladium moved up 0.8% to $1,394.00. These gains reflected the market’s response to U.S. inflation data and developments affecting interest-rate expectations. After reaching its highest in over two months, gold’s continued rally remains the dominant focus, extending a three-day advance that began following last week’s employment report.
This latest rally marks a clear reversal from Monday’s early decline, when bullion briefly dropped from a seven-week high before rebounding later in the day. The rise on Tuesday lifted gold to its highest level since early June and marked a third consecutive session of gains. Despite this recovery, gold’s price remains below its January 2026 record, when spot prices surpassed $5,500 an ounce. The market now closely watches this week’s scheduled U.S. consumer and producer inflation figures.