Gold gains 3% as dollar slides after Democratic midterm gains - The Economic Times

AI desk brief

Spot gold gained about 3% to $4,046.74/oz by 1234 GMT, reaching its highest level since October 29 as the dollar weakened following reported Democratic gains in both congressional chambers. Silver rose 4.8% to $52.13, platinum 3.6% to $1,467.60 and palladium 6.5% to $995.06. Capital Economics’ Hamad Hussain attributed support to fiscal concerns but warned that hawkish Fed policy and continued technology-stock weakness could constrain gold. CME FedWatch showed an 82% probability of a December rate increase; Friday’s US payrolls report could further shape policy expectations. Dollar weakness could support bullion, while higher expected real yields would be a counterforce.