Gold powers past $3,500 to set fresh record high; raft of mining stocks hit new 52-week highs
Sep. 02, 2025 5:57 PM ET
By: Carl Surran, SA News Editor
Gold futures rose to a fresh record Tuesday on mounting expectations for U.S. interest rate cuts and concerns over the Federal Reserve's independence, supported by a persistent backdrop of geopolitical tensions and tariff concerns - all drivers that analysts believe are unlikely to disappear any time soon.
Markets are pricing in a nearly 92% chance of a 25 basis points cut at the Fed's September 17 meeting, according to the CME FedWatch tool, rising steadily since Chair Jerome Powell's dovish comments on August 22 that effectively opened the door to a likely September rate cut.
President Trump's public clashes with the Fed, including criticism of Powell and a push to remove Governor Lisa Cook, "are a clear warning to other FOMC members to bow to government pressure for substantial rate cuts... This makes gold investments more attractive in such an environment," Commerzbank analysts wrote.
Reinforcing the rally, the world's largest gold-backed ETF - SPDR Gold Trust (NYSEARCA: GLD) - said its holdings rose 1% on Friday to 977.68 tons, the highest since August 2022.
"Central bank buying can continue to hold the floor for gold, but a re-ignition of ETF inflows is needed for prices to break out higher once again towards our bullish year-end target of $3,675/oz," J.P. Morgan head of global commodities straetgy Natasha Kaneva said, adding the bank sees prices reaching $4,250 by year-end of 2026.
China looks increasingly likely to continue building gold holdings at the expense of U.S. Treasury holdings, while Trump's move to oust Fed Governor Lisa Cook is unnerving investors concerned about the Fed's independence, driving up safe-haven demand, SP Angel analysts said in a note.
Investor attention will turn to U.S. nonfarm payrolls data on Friday for clues on the size of a September rate cut.
Front-month Comex gold ( XAUUSD:CUR) for September delivery ended +2.2% to $3,549.40/oz, a new record high settlement and its best one-day dollar and percentage gain since June 2, and front-month Comex September silver ( XAGUSD:CUR) finished +2.2% to $41.071/oz, its highest settlement value since September 13, 2011; it was the fifth straight daily gain for gold, and the fourth straight for silver.
McEwen ( MUX) closed +19.4% to lead dozens of mining stocks that hit new 52-week highs in Tuesday's trading, according to Barchart.com: Agnico Eagle Mines ( AEM) +2.5%, First Majestic Silver ( AG) +5.1%, Alamos Gold ( AGI) +5%, Aris Mining ( ARMN) +0.8%, Avino SIlver & Gold ( ASM) +4%, Barrick Mining ( B) +1.1%, B2Gold ( BTG) +3.4%, Buenaventura ( BVN) +2.6%, Coeur Mining ( CDE) +3.9%, Centerra Gold ( CGAU) +3.5%, Caledonia Mining ( CMCL) +3.2%, Collective Mining ( CNL) +4.7%, DRDGold ( DRD) +7%, Eldorado Gold ( EGO) +2.6%, EMX Royalty ( EMX) +5.7%, Equinox Gold ( EQX) +4.3%, Endeavour Silver ( EXK) +4.2%, Franco Nevada ( FNV) +1.1%, Fortuna Mining ( FSM) +1%, Galiano Gold ( GAU) +6.4%, Gold Fields ( GFI) +2.7%, Gold Royalty ( GROY) +5.5%, Hecla Mining ( HL) +4.8%, Iamgold ( IAG) +1.3%, Integra Resources ( ITRG) +7.4%, Kinross Gold ( KGC) +2.7%, MAG Silver ( MAG) +1%, Metalla Royalty and Streaming ( MTA) +4.6%, Newmont ( NEM) +1.9%, New Gold ( NGD) +3.7%, OR Royalties ( OR) +1%, Pan American Silver ( PAAS) +1.1%, Paramount Gold and Silver ( PZG) +2.9%, Sandstorm Gold ( SAND) +1.7%, Skeena Resources ( SKE) +3.4%, SSR Mining ( SSRM) +3.3%, Triple Flag Precious Metals ( TFPM) +1.4%, Americas Gold and Silver ( USAS) +1.5%, Vista Gold (VZG) +12.2%, Vizsla Silver ( VZLA) +3.5%. |
