Dec. gold price pokes above $4,000; bulls flex their muscles

(Kitco News, Tuesday. Oct. 7th, 2025) – Gold prices are slightly higher in early U.S. trading Monday, with December gold hitting a new contract/record high of $4,000.10. Safe-haven bids are keeping the yellow metal elevated. Silver prices are modestly down on profit taking after hitting a 14-year high Monday. December gold was last up $5.00 at $3,981.40. December silver prices were down $0.173 at $48.28.

Global stock markets were mixed to weaker overnight. U.S. stock indexes are set to open slightly lower when the New York day session begins.

President Trump Monday sent mixed messages about the state of talks with Democrats regarding the U.S. government shutdown. Trump, who had remained on the sidelines for days, said he was open to negotiating with Democrats over health care subsidies to bring an end to the shutdown, at one point suggesting those talks had already begun, according to a Bloomberg report. Trump’s comments appeared to mark a shift after Republicans said they would only consider a possible extension of Obamacare subsidies after Democrats first passed legislation to fund the government. Senate Democratic Leader Chuck Schumer issued a statement saying that while no talks were ongoing, “if he’s finally ready to work with Democrats, we’ll be at the table” Hours later, Trump seemed to retreat. “I am happy to work with the Democrats on their Failed Healthcare Policies, or anything else, but first they must allow our Government to re-open,” Trump wrote in a social media post. The comments from both sides marked the first sign of movement after days of inaction to reopen the government.

Expected volatility in the U.S. Treasury markets has sunk to the lowest level in almost four years due to the U.S. government shutdown, according to a Bloomberg report. “The government shutdown has delayed key U.S. economic data releases, depriving traders of catalysts for large price swings, and is expected to leave investors uncertain of the performance of the real economy. The absence of official government data may lead to a period of consolidation in the U.S. rates market, but a surprise quick resolution of the shutdown could result in a spike in implied volatility,” said the Bloomberg story.

In other news, Argentina’s government sold U.S. dollars in the foreign-exchange market for a fifth straight session on Monday to stem a slide in the Argentine peso. Its central bank sold between $450 million and $480 million at around 1,430 pesos per dollar, weakening the peso 0.4% to close at that level. President Javier Milei’s administration has sold an estimated $1.3 billion since last Tuesday, depleting the Argentine treasury’s already thin cash position, reported Bloomberg. “The sales underscore the pressure on the peso, even after the U.S. pledged assistance and local authorities reintroduced capital controls in recent weeks, including a 90-day ban on reselling dollars. Argentine Economy Minister Luis Caputo and Central Bank President Santiago Bausili traveled to Washington on Friday for talks with US Treasury Secretary Scott Bessent and the IMF,” said the Bloomberg report.

Hedge fund manager Paul Tudor Jones: Watch out for “blow-off” top in U.S. stock market. The famed commodity trader and founder of Tudor Investment told CNBC Monday that he believes the conditions are set for a powerful surge in U.S. stock prices before the bull market tops out. “My guess is that I think all the ingredients are in place for some kind of a blow off,” Jones said Monday on CNBC’s Squawk Box. “History rhymes a lot, so I would think some version of it is going to happen again. If anything, now is so much more potentially explosive than 1999.” Jones said today’s market is reminiscent of the setup leading up to the burst of the dot-com bubble in late 1999, with dramatic rallies in technology shares and heightened speculative behavior. Jones said the circular deals or vendor financing happening in the artificial intelligence space today also make him nervous. The technology-heavy Nasdaq composite index has rallied 55% from its April bottom to record highs.

The key outside markets today see the U.S. dollar index up again, while crude oil prices are near steady and trading around $61.75 a barrel. The yield on the benchmark 10-year U.S. Treasury note is presently 4.16%.

U.S. economic data due for release today includes the Johson Redbook retail sales report and the RCM/TIPP economic optimism m

Technically, December gold futures bulls have the strong overall near-term technical advantage. Bulls’ next upside price objective is to produce a close above solid resistance at $4,000.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at $3,750.00. First resistance is seen at today’s record high of $4,000.10 and then at $4,025.00. First support is seen at the overnight low of $3,963.40 and then at $3,950.00..

December silver futures bulls have the strong overall near-term technical advantage. Silver bulls’ next upside price objective is closing prices above solid technical resistance at $50.00. The next downside price objective for the bears is closing prices below solid support at $45.00. First resistance is seen at this week’s high of $48.61 and then at $49.00. Next support is seen at the overnight low of $47.52 and then at $47.00.

Posted by:

Jack Dempsey, President

401 Gold Consultants LLC

jdemp2003@gmail.com