By Agustina Patti – Financial Markets Strategist at Exness
Gold touched a new record on Tuesday before pulling back as some investors locked in profits, though the broader outlook for the metal remained positive. The retreat came as bullion was on track for its strongest monthly performance in nearly 16 years, fuelled by rising demand for safe-haven assets amid monetary, political and geopolitical uncertainty.
The immediate focus stayed on Washington, where talks between President Donald Trump and congressional leaders ended without agreement on extending government funding. Combined with the impact of new tariffs on trucks, drugs and other products scheduled to take effect the same day, gold’s bullish outlook remains intact.
ETF inflows underscored continued appetite for bullion. Holdings in the world’s largest gold-backed fund rose by 0.6% on Monday to over 1,011 tonnes, the highest since mid-2022. Across regions, gold ETFs attracted 27.2 tonnes in the week ending September 26, with North America leading inflows.
Geopolitical risks also continued to underpin sentiment, with persistent tensions in the Middle East and Eastern Europe reinforcing safe-haven demand.