World gold price increases dramatically, investors rush to buy

Safety-haven demand has been high as September has begun volatile, amid uncertainty about the legality of US tariffs.

December gold futures closed at a rally of $61.4 to $3,577.2 an ounce. Meanwhile, December delivery silver prices increased by 0.862 USD, reaching 41.58 USD/ounce.

Investors rushed to buy gold as safe-haven sentiment increased, fueled by expectations of a Fed rate cut soon, along with increasingly clear concerns about the agency's independence.

Gold has gained more than 30% since the start of the year, becoming one of the best-performing commodities. In the session, spot gold prices sometimes reached 3,526 USD/ounce. The most recent silver futures price reached 41.34 USD/ounce, raising the increase since the beginning of the year to more than 40%.

Meanwhile, the global stock market mostly fell overnight. US stock indexes also fell sharply near the middle of the session.

Part of the reason came from the US appellate court's ruling last Friday, when it declared most of the US tariffs illegal, adding to market uncertainty in a shortened trading week due to the holiday. The ruling also questioned President Donald Trump's authority to impose import tariffs.

With a vote of 7-4, the court ruled that the application of global tax beyond the authority granted in the International Emergency Economic Power Act (IEEPA) in 1977, calling it an "unprecedented" act and " fundamental change".

Although the court allowed the tax rate to remain unchanged while the lawsuit continued, this ruling risks freezing businesses from deciding to invest until the tariff cost became clearer.

Bond yields increased at the beginning of the week, along with the sell-off in the stock market. History shows that September was inherently the least positive month for US stocks.

In related markets, the USD index increased, crude oil prices also increased and traded around 65.50 USD/barrel. The yield on the 10-year US government bond is currently at 4.27%.

Technically, the December gold contract: Phe buys hold a strong technical advantage in the short term. The next target is to close above the resistance of 3,700 USD/ounce. The target for the sellers is to pull the price down to strong support at 3,400 USD/ounce.

The initial resistance level is 3,585.8 USD/ounce and 3,600 USD/ounce. The initial support level was 3,550 USD/ounce and then 3,500 USD/ounce.

Regarding silver, the December delivery contract of the buyers also has a solid technical advantage. The next target is to close above strong resistance at $45/ounce. On the contrary, the selling side is aiming to pull the price down to strongly support at 38 USD/ounce. Forward resistance: $42/ounce and $42.5/ounce. The next support level: $41/ounce and then $40.5/ounce.