The news: Gold prices jumped to an all-time high on Tuesday during early trading in Asia, before paring gains as European markets opened.
The numbers: Spot gold hovered at USD3,475.33 ($5339.56) per ounce just before 8:00am London time on Tuesday, after hitting a record high of USD3,508.50 earlier in the session.
US gold futures for December delivery also rose 1.2% to USD3,557.80.
The context: The jump comes amid a drop in the US dollar and rising expectations of a US interest rate cut later in September. The independence of the Federal Reserve is also adding to concerns, as President Trump continues to pressure chair Jerome Powell to cut rates and is moving ahead with his efforts to fire governor Lisa Cook.
Demand for bullion has steadily increased this year as investors see it as a hedge against both inflation and macroeconomic uncertainty. Gold prices have gained 32% so far this year.
Silver prices also climbed on Tuesday to near 14-year highs, rising 0.3% to USD40.8 per troy ounce.