When the US government hits the pause button, it's not just politicians feeling the heat. The recent shutdown has sent shockwaves through the stock market, causing US stock futures to take a nosedive. But amidst the chaos, gold emerges as a shining star, reaching new heights as a safe haven for investors.
Impacts on Stock Futures
The Numbers Game
The numbers don't lie – US stock futures are feeling the pressure. As of 3:07 a.m. ET on Wednesday, here's the breakdown:
- S&P 500: down 0.8% at 6,685.00
- Dow Jones: down 0.7% at 46,365.00
- Nasdaq: down 1% at 24,665.00
Gold's Glittering Performance
The Golden Touch
While stocks tumble, gold dances to its own tune, hitting a fresh record high of $3,875.53 per ounce. The US Dollar Index, on the other hand, takes a slight dip, proving that in times of uncertainty, gold remains a beacon of stability.
- Spot gold: $3,860.64 per ounce
- US Dollar Index: down 0.3% at 97.52
Despite the market's resilience to previous shutdowns, this time around, concerns are rising. The delay in key economic reports, such as the nonfarm payrolls, could have ripple effects across the financial landscape. If the shutdown persists, critical data like inflation numbers, crucial for the Federal Reserve's decisions, might also face postponement.
According to Vishnu Varathan, Mizuho's head of macro research for Asia excluding Japan, the shutdown could lead to "significant, even if only temporary, economic disruptions." The lack of data transparency could muddy the waters, potentially paving the way for policy missteps and economic uncertainties.
As we navigate these turbulent times, one thing is clear – gold stands firm as a pillar of strength amidst the storm. While the stock market may waver, the allure of gold remains unwavering.
Are you ready to safeguard your investments and weather the storm? Stay informed, stay vigilant, and let gold be your guiding light in uncertain times.
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By: htan@insider.com (Huileng Tan)
Title: Gold Reaches Record High as US Government Shutdown Impacts Stock Futures
Sourced From: markets.businessinsider.com/news/stocks/us-stock-futures-sp500-nasdaq-gold-government-shutdown-2025-10
Published Date: Wed, 01 Oct 2025 07:33:17 +0000
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