DBT Bureau
Pune, 8 Nov 2025
Gold prices hovered above USD 4,000 per troy ounce as investors turned to safe-haven assets amid a prolonged U.S. government shutdown and ongoing global trade and economic uncertainties. The Federal Reserve’s recent 25-basis-point rate cut and limited economic data have cast doubt on further easing this year. In China, exports dipped 1.1% in October while imports rose modestly, and the central bank extended its gold-buying streak for a 12th straight month. Meanwhile, crude oil imports climbed 8.2% year-on-year, copper imports slipped nearly 10%, and OPEC+ maintained its production strategy. The U.S.–China trade agreement provided some relief, and natural gas futures hit a seven-month high on strong LNG demand.
- Spot gold edged higher, hovering above USD4,000 per troy ounce today, as the prolonged government shutdown has heightened safe-haven demand among investors.
- The Federal Reserve cut interest rates by 25 basis point to 3.75%-4.00% range, while Fed Chair Jerome Powell’s remarks suggest that the lack of federal government data may put another interest rate cut out of reach this year.
- China’s exports declined by 1.1% in October, as outbound shipments fell following months of front-loading orders to avoid U.S. tariffs. Meanwhile, imports posted a modest increase of 1% during the same period.
- China’s central bank continued its gold-buying streak for the 12th consecutive month in October, according to data from the People’s Bank of China (PBOC). The country’s gold reserves rose to 74.09 million fine troy ounces by the end of October, up from 74.06 million in September and marking a 1.8% increase compared to 72.8 million ounces a year earlier.
- U.S. President Donald Trump and Chinese Premier Xi Jinping have officially concluded a trade agreement last week. As part of the deal, China will initiate the purchase of American energy products, and tariffs on Chinese imports will be reduced from 57% to 47%.
- China’s crude oil imports rose by 8.2% year-on-year in October, as domestic refineries operated at their highest utilization rates of the year. The country, which is the world’s largest crude importer, brought in 11.4 million barrels per day—an increase of 2.3% compared to September.
- OPEC+ agreed to raise output by 137,000 barrels per day in December, the same as for October and November, and decided to halt production increases in the first quarter of 2026.
- NYMEX natural gas futures climbed a seven-month high on record flows to LNG export plants and as the withdrawal season began in U.S.
- China’s copper imports declined in October, as high prices discouraged consumers from restocking the metal, which is widely used in power and construction sectors. Imports fell to 438,000 metric tons, down 9.7% from 485,000 tons in the previous month.
Source: Geojit Investments Ltd.
