Gold Hits Record $2,095 as US Shutdown Fears Drive Safe-Haven Buying

Gold surged 1.8% to an all-time high of $2,095 per ounce as US government shutdown risks and broader market uncertainty fuel aggressive safe-haven positioning. The US Dollar Index declined 0.5% to 100.85 despite shutdown concerns, as traders favor gold over traditional currency havens. EUR/USD climbed 0.3% to 1.1015 while GBP/USD advanced 0.4% to 1.2680, both benefiting from dollar weakness. Congressional deadlock with less than 72 hours until funding expires has pushed VIX volatility index up 15%. Real yields dropped 12 basis points to 1.68%, enhancing gold's appeal as an inflation hedge. Technical analysis shows gold breaking above previous resistance at $2,075 with momentum indicators strongly bullish. Next targets lie at $2,100 psychological level and $2,120. The shutdown risk could extend gold's rally while pressuring USD pairs if political dysfunction deepens.