Gold Surges Past $4500 Amid Treasury Debt Buybacks

Gold prices jumped over 4% past $4500, hitting $4518.90 an ounce after the U.S. Treasury announced it would at least double buyback operations for long-term bonds from the 10- to 30-year sector. The move seeks to enhance liquidity, driving 30-year yields down 10 basis points to 5.18%. The dollar fell to a three-month low, while silver climbed 5.34% to $66.57.

Treasury framed the action as liquidity support, contrasting with July Fed minutes where officials leaned toward possible rate hikes. Traders now price only a 36% chance of a September increase. Base metals declined, with copper off 0.85%.

Analyst James Dima of StoneX flagged key gold levels at the 50-week moving average of $4540 and 200-day average of $4625 as potential catalysts for further gains. President Trump also signaled possible tariff cuts on Canadian metals.