Gold Nears $4,000 as AI Jitters, US Shutdown Drive Haven Demand

Gold held near a record just below $4,000 an ounce as a wobble in tech stocks reinforced investor appetite for haven assets, while the data void created by the US government shutdown impeded the outlook for US monetary policy.

Bullion traded about $2 shy of Tuesday’s fresh all-time high above $3,991 an ounce, while December futures in New York — the most active contract — nudged higher after surpassing $4,000 for the first time in the previous session.

Investors were monitoring signs that the by artificial intelligence may have reached excessive levels, after a report that Oracle Corp.’s cloud margins are lower than many estimate. Emerging concerns about are adding to the haven appeal of precious metals, with last week’s US government shutdown delaying key data reports and muddying the outlook for the Federal Reserve’s rate-cutting path.

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Gold has soared more than 50% this year in a rally that’s seen successive all-time highs, with prices on track for the biggest annual gain since 1979. Central banks have been enthusiastic buyers, while the Fed’s rate cut last month spurred investors to pile into gold-backed exchange-traded funds — with September registering the strongest monthly inflows on record, according to the World Gold Council.

Spot gold rose 0.1% to $3,989.11 an ounce at 6:55 a.m. in Singapore. Silver was steady, after losing 1.4% in the previous session. Platinum and palladium were little changed.