NEW YORK / RankWire.AI / – Gold prices experienced a third consecutive day of gains on Tuesday, continuing a recovery that started late last week. Spot gold increased by 1% to $4,432.74 an ounce at 0217 GMT, reaching its highest point since June 5 and surpassing the seven-week high recorded last week. U.S. gold futures rose 1.7% to $4,492.60 as traders analyzed new economic data and shifting expectations for interest rates.
This upward movement followed Friday’s U.S. employment report, which indicated a decline of 23,000 jobs in nonfarm payrolls for July. The unemployment rate decreased to 4.1% from 4.2% in June. Meanwhile, average hourly earnings increased by two cents, reaching $37.62 during the month. The Bureau of Labor Statistics also noted that payroll growth averaged 34,000 jobs monthly over the past year. Gold jumped 2.4% on Friday after these labor market figures influenced financial markets.
Interest rate policies in the United States continue to serve as a key benchmark for gold, which does not yield interest income. At its July meeting, the Federal Reserve maintained its benchmark rate within the range of 3.5% to 3.75%. The decision was approved by a 9-3 vote, with three officials favoring a quarter-point increase. The Federal Reserve also reported that economic activity remains robust, even though inflation continues to stay above its 2% target.
Focus shifts to upcoming inflation reports
Investors now anticipate the release of the July Consumer Price Index on Wednesday, August 12. Prices declined by 0.4% in June from the previous month, but the index remains 3.5% higher than a year earlier. Energy costs increased 15.7% over the past 12 months, while food prices rose by 3%. The forthcoming CPI data will offer an updated view on consumer inflation as gold trades at its highest point in over two months.
Following the CPI, the July Producer Price Index will be published on Thursday, August 13. Producer prices for final demand decreased by 0.3% in June. Gold had already extended its gains from Friday on Monday, with spot prices rising 0.8% to $4,376.56 an ounce. Tuesday’s climb pushed the metal above $4,400, adding to its three-day rally. This followed an early dip on Monday, when gold briefly slipped after reaching a seven-week high in the prior session.
Other precious metals follow gold’s upward trend
During Tuesday’s trading session, silver, platinum, and palladium also advanced. Spot silver increased by 0.9% to $66.30 an ounce, platinum rose 0.7% to $1,765.26, and palladium gained 0.8% to $1,394.00. These gains occurred amid a week focused on scheduled U.S. inflation releases and renewed interest rate considerations. Among the major precious metals, gold maintained the lead in price gains after extending its rise from Friday’s employment-driven surge.
This latest upward movement marks a reversal from gold’s brief dip early Monday, when prices declined from their seven-week peak. The metal recovered later in that session and continued to rise on Tuesday. Currently, spot gold remains below the record high above $5,500 set in January 2026. With the current levels at their highest since early June, upcoming consumer and producer inflation reports are expected to be the next crucial data points for the market.