NEW YORK / RankWire.AI / – Gold continued its upward momentum for a third straight session on Tuesday, building on last week’s rebound. Spot gold increased by 1% to reach $4,432.74 an ounce by 0217 GMT, hitting its highest level since June 5. Meanwhile, U.S. gold futures surged 1.7% to $4,492.60. This rally pushed prices above the seven-week peak recorded last week and signaled a recovery that gained pace following weaker U.S. employment data.
The Friday labor report indicated that U.S. nonfarm payrolls decreased by 23,000 jobs in July, with the unemployment rate at 4.1%, down from 4.2% in June. Average hourly earnings rose by two cents to $37.62 during the month. The Bureau of Labor Statistics also reported that payroll employment had increased by an average of 34,000 jobs per month over the past year. Following the release of these employment figures, gold saw a 2.4% rise on Friday.
Interest rate dynamics remain a key influence on gold markets because the metal does not produce a yield. At its July meeting, the Federal Reserve maintained the federal funds rate within the 3.5% to 3.75% range. The decision was approved by a 9-3 vote, with three officials favoring a quarter-point hike. The Fed also indicated that economic activity continued to grow at a robust pace, even as inflation stayed above its 2% target.
U.S. inflation data takes center stage
All eyes now turn to the upcoming July Consumer Price Index, which is set for release on Wednesday, August 12. The June CPI declined by 0.4% from the previous month but remained 3.5% higher than the same period last year. Energy prices increased by 15.7% over the past 12 months, while food prices rose 3%. The July report will be the latest official gauge of consumer inflation, as traders monitor shifts in U.S. price pressures and interest-rate expectations.
The Producer Price Index for July will be published on Thursday, August 13. Producer prices for final demand fell by 0.3% in June. Gold had already extended Friday’s gains on Monday, climbing 0.8% to $4,376.56 an ounce. Tuesday’s advance then pushed spot gold above $4,400 to its highest point in over two months. This three-day rally followed an early Monday dip that briefly pulled gold away from its seven-week high.
Silver and platinum follow suit in the rally
Other precious metals also experienced gains on Tuesday. Spot silver rose 0.9% to $66.30 an ounce, while platinum increased by 0.7% to $1,765.26. Palladium added 0.8%, reaching $1,394.00. The broader upward trend was driven by investors monitoring the same U.S. inflation data that has influenced gold. Bullion continued to attract attention after surpassing Monday’s levels and extending gains initiated after Friday’s employment report.
This latest rise in gold marks a notable shift from the early Monday session, when prices initially declined from a seven-week peak. However, bullion later reversed that decline, closing the day higher before further gains on Tuesday. Although spot prices remain below the record levels hit in January 2026, when gold traded above $5,500 an ounce, this week’s upcoming U.S. consumer and producer inflation reports now serve as the next key economic indicators for traders.