Gold prices are on the rise again. After moving up in a hurry and climbing over 57% so far this year, gold prices have remained flat in the last month.
Gold, for the first time in history, breached the $4,000 level on October 7, 2025, and touched an all-time high of $4,380 on October 17.
Later, a 10% correction in gold took prices below $4,000, but now gold is back above $4,000. On November 11, gold trades around $4,137 and the gold price today in India is Rs 1,25,120.
Gold’s recent up move has hit a three-week high as growing economic uncertainty in the US fueled expectations for a near-term Federal Reserve rate cut. The next FOMC meeting is on December 9-10, where the Fed chair Powell is expected to announce a 25bps rate cut. Fed Governor Stephen Miran is advocating a larger half-point reduction amid falling inflation and rising unemployment.
Last week’s data showed job losses in October, particularly in government and retail sectors, while consumer sentiment fell to a 3-year low in early November.
The likely immediate tailwind for gold is the reopening of the federal government’s 40-day shutdown after the US Senate advanced a measure to reopen the government.
Markets expect the labour market data will soon flow in soon, throwing up data around worsening economic conditions and propelling the US Fed to be more aggressive in its rate cut campaign. A lower rate scenario boosts gold prices as the opportunity cost of holding gold rises.
Meanwhile, DoubleLine CEO Jeffrey Gundlach, popularly known as the ‘Bond King,’ has reversed his position on gold. Gundlachwas was on CNBC, where he said that he has reduced his gold exposure to about 10% and allocated 5% to other commodities, predicting a further correction in gold prices. He has decreased the firm’s gold allocation, citing that gold prices have reached “nosebleed levels.” He advises investors to rebalance their portfolios by reducing assets that have escalated to these levels.
JP Morgan Private Bank predicted that gold would top $5,000 per ounce next year, owing to central bank purchases in emerging nations.
Tim Hayes, Chief Global Strategist at Ned Davis Research, wrote in a report on Friday that he remains bullish about gold and believes investors may use the opportunity to buy gold at lower prices.