Gold prices recorded a significant rise on Thursday, October 30 2025 supported by a decline in the U.S. dollar and growing expectations that the Federal Reserve may shift toward a more accommodative monetary policy in the coming months.
Spot gold jumped to around $4004.75 per ounce after touching $4020 during early Asian trading — its highest level this week Gold futures also climbed to about $4018 while the U.S. Dollar Index (DXY) fell to a ten-day low of 104.6 points.
| Asset | Current Price (USD) | Change (%) | Daily High | Daily Low |
|---|---|---|---|---|
| Gold (Spot) | $4004.75 | ▲ +1.7% | $4,020 | $3,886 |
| Gold Futures | $4018.30 | ▲ +1.6% | $4,035 | $3,890 |
| U.S. Dollar Index (DXY) | 104.6 | ▼ -0.25% | 105.1 | 104.5 |
| EUR/USD | 1.095 | ▲ +0.18% | 1.098 | 1.091 |
| Silver (Spot) | 28.35 | ▲ +0.60% | 28.55 | 28.10 |
Reasons Behind the Rise
Analysts attribute the recent gains in gold to several interconnected factors:
🔹The weakening of the U.S. dollar making the metal more attractive to holders of other currencies.
🔹Growing concerns over a global economic slowdown and increased bond-market volatility driving investors toward safe-haven assets.
🔹Rising expectations of Federal Reserve rate cuts during the first half of 2026, which boost the appeal of non-yielding assets like gold.
Some experts suggest that continued dollar weakness combined with softer-than-expected inflation data could push gold toward the $4,050 per ounce level in the near term.
The Gold–Dollar Relationship
Gold and the U.S. dollar typically move in opposite directions. When the dollar weakens gold becomes cheaper for international investors increasing its demand.
Conversely a stronger dollar or higher bond yields often put pressure on gold since it offers no fixed income compared to interest-bearing assets.
Outlook
Analysts expect the bullish momentum to continue in the short term especially ahead of next week’s U.S. Consumer Price Index (CPI) data.
If inflation data comes in weaker than expected, gold could climb further toward $4,100 However any rebound in the dollar or stronger-than-expected inflation could push prices back toward the $3,950 support zone.
🔗 Source : https://www.forex.com/en/news-and-analysis/gold-is-back-to-4k-but-is-it-there-to-stay/
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