Gold breaks record high as US shutdown fears drive safe-haven demand

Gold prices have surged to a new all-time high of $2,685 per ounce, gaining 1.8% as US government shutdown concerns and deteriorating economic indicators fuel safe-haven demand. The precious metal's rally accelerated after US political gridlock raised shutdown probabilities to 70%, potentially disrupting economic activity and government data releases. Simultaneously, the US Dollar Index has declined 0.6% to 101.20, enhancing gold's appeal for international buyers. The Canadian dollar strengthened against its US counterpart, with USD/CAD dropping to 1.3520 as oil prices climbed 2.3% on Middle East supply concerns. EUR/USD benefited from dollar weakness, advancing to 1.0985. Market analysts note that gold's technical structure remains strongly bullish, with immediate resistance at $2,700 and support established at $2,650. The combination of geopolitical uncertainty, dollar weakness, and recession fears suggests continued upward pressure on precious metals.