Gold Soars Past $4,000 as US Shutdown Adds Fuel to Record Rally

Spot gold prices climbed above $4,000 an ounce for the first time, as concerns over the US economy and a government shutdown added fresh momentum to a scorching rally.

Bullion climbed as much as 0.4% to $4,001.01 an ounce on Wednesday. It’s a milestone moment for the metal that traded below $2,000 just two years ago, with returns that now well outstrip those for equities this century.

Gold has jumped more than 50% this year in the face of uncertainties over global trade, the Federal Reserve’s and fiscal stability in the US. At the same time, geopolitical tensions have boosted demand for haven assets, while have continued to buy gold at an elevated pace.

The price surge has taken on extra urgency as investors seek protection from potential market shocks following the government in Washington. The start of the Fed’s monetary easing cycle has also been a boon for gold, which doesn’t bear interest. Investors have responded by piling into exchange-traded funds, with bullion-backed ETFs seeing their biggest monthly inflow in more than three years in September.

“Gold breaking $4,000 isn’t just about fear — it’s about reallocation,” said Charu Chanana , a strategist at Saxo Capital Markets Pte. “With economic data on pause and rate cuts on the horizon, real yields are easing, while AI-heavy equities look stretched. Central banks built the base for this rally, but retail and ETFs are now driving the next leg.”