Gold rose above $4,320 per ounce on Wednesday, testing levels near all-time highs last seen in October, as investors continued to see scope for additional easing by the Federal Reserve next year. The US labor market showed further signs of cooling, with the unemployment rate unexpectedly rising to 4.6% in November, the highest since 2021, while wage growth slowed to its weakest pace in more than two years. This has reinforced expectations for up to two interest-rate cuts in 2026, with around 59 basis points of easing priced in for next year. Markets now await November’s CPI data due on Thursday, followed by PCE figures on Friday, for further insight into inflation pressures. Meanwhile, geopolitical risks resurfaced after President Donald Trump ordered a “total and complete” blockade of sanctioned Venezuelan oil tankers, following last week’s seizure and a US military buildup, partly offsetting easing risks tied to progress in Russia–Ukraine peace talks.
