Spot gold climbed above $4,150 an ounce on Thursday, November 5, for the first time since October 21, according to Investing platform data. The metal gained 1.92% (or $78.07) from the previous session’s close, reaching $4,151, and intraday highs touched $4,155.80 an ounce.
Analysts link the precious metal’s advance to a reassessment of market risks after the US midterm elections. Democratic control of both chambers of Congress raised expectations of fiscal gridlock and restraint on government spending, which sent the dollar to a more‑than‑one‑month low and pushed US Treasury yields down. The pullback in sovereign yields traditionally supports demand for non‑yielding assets such as gold.
Looking ahead, market direction will depend largely on Federal Reserve decisions at its December meeting, Head of rate strategy and FX markets for Asia at JPMorgan Private Bank Yixuan Tang said. Tang warns that a potential Fed rate cut could bolster the dollar and resume price pressure on the precious metal.
