WORLD (Enamaeya News) - October 7, 2025

Gold prices hit an all-time high of $3,977.19 an ounce on Tuesday for the first time, as worries about the economy and hopes for lower interest rates pushed investors to buy the precious metal.

Gold was up at $3,962.63 per ounce, after hitting an all-time high of $3,977.19 earlier.

According to Reuters, experts say investors are turning to gold because they’re concerned about political problems in places like France, the repercussions of a U.S. government shutdown, and signs that the world economy is slowing.

Another reason for gold’s rise is the belief that the U.S. Federal Reserve might start cutting interest rates soon, with another cut expected by December.

Lower interest rates make gold more attractive since it doesn’t earn interest.

Reuters also said that some analysts now think gold could reach $4,200 an ounce by the end of the year.

Other precious metals also gained on Monday. Silver hit its highest level in 14 years, while platinum and palladium also moved higher.

With experts predicting further increases in the price of gold, many will be watching closely how economic and political developments unfold in the coming months.