<img src="https://www.telegraph.co.uk/content/dam/business/2023/12/04/TELEMMGLPICT000358824695_17016724711620_trans_NvBQzQNjv4BqA7N2CxnJWnYI3tCbVBgu9T0aesusvN1TE7a0ddd_esI.jpeg" alt="Gold hits all-time high as traders bet on interest rate cuts - latest updates" width="100%" height="auto"><div class="articleBodyText version-2 section"> <div class="component article-body-text " data-test="article-body-text"> <p>The value of gold hit a new record as markets increasingly bet that interest rates will be cut early next year.</p><p>Gold rose above $2,111 an ounce for the first time in Asian trading hours, before falling back to $2,086.</p><p>There was no obvious catalyst for the move, leaving dealers suspecting that some traders were jumping onto the bandwagon after the precious metal broke $2,107 last week.</p><p>Global central banks also bought a net 800 metric tons of gold in the year to September, a record for the period, with many expecting the price to top $2,240 or $2,400.</p><p>Markets are pricing in aggressive interest rate cuts next year, which is also delivering a boost to gold, which is considered a safety net against inflation.</p><p>Traders are betting there is a 59pc chance of a US interest rate cut as early as March, up from 20pc a week ago.</p><p><em>Read the latest updates below.</em></p> </div>
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The value of gold hit a new record as markets increasingly bet that interest rates will be cut early next year.{ai:summary}<p>Gold reached a new record high of $2,111 an ounce, fueled by expectations of early interest rate cuts next year. Global central banks bought a record amount of gold in the year leading up to September, supporting the belief that the price will continue to rise. Traders are now predicting a 59% chance of a US interest rate cut as early as March. #economy</p>