Gold surged more than 1% on Monday as investors grew increasingly confident that the U.S. Federal Reserve is preparing to cut interest rates next month. With key U.S. economic data due this week, markets are watching closely for further signals that monetary policy is shifting toward a more accommodative stance.

Spot gold climbed 1.2% to $4,111.86 per ounce, while U.S. gold futures for December delivery closed 0.4% higher at $4,094.20 per ounce. Analysts note that sentiment is strengthening around the likelihood of a rate cut in December, with CME FedWatch data showing market expectations at 79%.

Why Rate Cut Expectations Are Supporting Gold

Gold has historically performed well in low-interest-rate environments. When rates fall, the returns on interest-bearing assets like bonds become less attractive, driving more investors toward gold as a store of value. In addition, uncertain economic conditions and geopolitical tensions – including ongoing negotiations around the conflict in Ukraine – continue to provide further support for safe-haven demand.

TD Securities strategist Bart Melek noted that investors anticipate weaker economic data ahead, as inflation trends lower and economic pressure builds. This combination reinforces the positive outlook for gold in the near term.

Why This Could Be the Right Time to Sell Your Gold

With prices already above $4,100 per ounce and momentum building, many Australians holding old jewellery, coins, bullion or scrap gold may find the current market conditions highly favourable for selling.

Here’s why:

• Gold is trading near historic highs, meaning your old or unused gold could be worth significantly more today than in previous years.
• If the market has already priced in a rate cut, the upside from here may be more limited. Selling while prices are strong helps lock in value.
• Economic data could shift the market, and if upcoming figures surprise on the upside, gold could retreat.
• Market uncertainty is driving buyer demand, giving sellers an advantageous position while gold remains highly sought after.

Right now, the combination of high prices, strong safe-haven interest and shifting monetary expectations creates a window of opportunity for those considering turning unused gold into cash.

Other Precious Metals Also Strengthen

It wasn’t just gold that benefited from market conditions. Silver rose 1.7% to $50.84 per ounce, platinum gained 2.3% to $1,545.91 and palladium climbed 1.7% to $1,398.21 – further reinforcing the strength across the precious metals sector.

Considering Selling Gold?

For many Australians, this may be one of the most profitable periods in years to bring in gold they no longer wear, use or need. With gold at elevated prices and market forces still supportive, selling now could mean getting excellent value before conditions potentially shift.