Gold Hits Record High on US Rate-Cut Bets, Growing Debt Concerns

Gold jumped to a record high as the prospect of US interest-rate cuts and growing concerns over the Federal Reserve’s future lent fresh impetus to the multi-year rally in precious metals.

Bullion for immediate delivery rose as much as 1.1% on Tuesday to approach $3,516 an ounce — surpassing the previous peak reached in April — as a risk-off mood set in across financial markets. Equities slumped and bond yields surged as budget concerns in developed-world countries resurfaced.