NEW YORK / RankWire.AI / – Gold rose for a third straight session on Tuesday, extending its rebound from last week. The spot price increased by 1% to $4,432.74 an ounce by 0217 GMT, reaching its highest point since June 5. Meanwhile, U.S. gold futures climbed 1.7% to $4,492.60. This movement pushed prices above the seven-week peak recorded last week, continuing a recovery that gained momentum after weaker U.S. employment data was released.
On Friday, the labor report indicated that U.S. nonfarm payrolls decreased by 23,000 jobs in July. The unemployment rate was reported at 4.1%, down from 4.2% in June. During the month, average hourly earnings increased by two cents to $37.62. The Bureau of Labor Statistics also revealed that payroll employment had grown by an average of 34,000 jobs per month over the past year. Following the employment data release, gold surged by 2.4% on Friday.
Interest rate levels remain a key influence on the gold market since the metal does not generate yield. The Federal Reserve maintained the federal funds rate at 3.5% to 3.75% at its July meeting. The decision was approved by a 9-3 vote, with three officials favoring a quarter-point increase. The Federal Reserve also stated that economic activity continued to expand at a solid pace, although inflation remained above its 2% target.
US inflation data attracts market attention
Investors now await the release of the July Consumer Price Index, scheduled for Wednesday, August 12. The June CPI declined by 0.4% from the previous month but was still 3.5% higher than the same period last year. Energy prices increased by 15.7% over the year, while food prices rose 3%. The upcoming July report will serve as the latest official indicator of consumer inflation, helping investors gauge changes in U.S. price pressures and interest rate expectations.
The Producer Price Index for July is expected on Thursday, August 13. In June, producer prices for final demand dropped 0.3%. Gold already extended Friday’s gains on Monday, rising 0.8% to $4,376.56 an ounce. The upward movement on Tuesday then pushed spot gold above $4,400, reaching its highest level in over two months. This three-day rally followed an early Monday decline that briefly pulled gold away from its earlier seven-week high.
Silver and platinum follow gold’s upward trend
Other precious metals also experienced gains on Tuesday. Spot silver increased by 0.9% to $66.30 an ounce, while platinum advanced 0.7% to $1,765.26. Palladium saw an 0.8% rise to $1,394.00. The broader rally coincided with ongoing market attention to the same U.S. inflation reports that are influencing gold. After breaking above Monday’s levels and extending recent gains started post-Friday employment data, bullion remained the focus.
Gold’s recent upward move marks a notable reversal from early Monday, when prices initially dropped from a seven-week peak. Later, bullion reversed its decline, ending the day higher, and continued to gain on Tuesday. Despite this, spot prices are still below the record levels of January 2026, when gold traded above $5,500 an ounce. The upcoming U.S. consumer and producer inflation reports this week will serve as the next key economic indicators shaping market sentiment.