KUWAIT CITY, Nov 9: Gold prices stabilized at US$4,000 per ounce at the end of last week’s trading, supported by a weaker U.S. dollar and renewed demand for safe-haven assets as markets awaited developments in the ongoing U.S. government shutdown and key central bank decisions.

In its weekly report released Sunday, Kuwait’s Dar Al-Sabaik Company said the precious metal closed last Friday with a slight gain, driven by political gridlock in Washington and its growing impact on the U.S. economy. Futures contracts rose 0.47 percent to US$4,009 per ounce, buoyed by a decline in the dollar index and concerns about the high valuations of technology stocks, which weighed on investor risk appetite.

The report cited data from the University of Michigan showing a sharp drop in U.S. consumer confidence in November to near-historic lows, reflecting heightened fears of a prolonged government shutdown that began in early October. Deep divisions in Congress over the terms to end the shutdown have added to uncertainty, dampening sentiment across households and the private sector.

Dar Al-Sabaik noted that weak economic indicators have strengthened market expectations of a Federal Reserve interest rate cut in December, with odds rising above 70 percent. Consumer confidence has fallen to its second-lowest level on record, layoffs have reached their highest level in two decades, and private sector employment has weakened—all contributing to gold’s recent strength.

The report added that the weakening dollar has increased gold’s appeal to foreign investors. At the same time, the suspension of government data releases during the shutdown has deepened economic uncertainty, further supporting demand for defensive assets. Gold traded near USD 4,002 per ounce after rebounding from USD 3,974, while stock markets remained under pressure from soft economic conditions.

The yield on 10-year U.S. Treasury bonds stabilized around 4 percent, keeping gold within a narrow trading range of US$3,950 to US$4,060 in recent days.

Citing data from the World Gold Council, the report highlighted inflows of 55 tons into gold exchange-traded funds (ETFs) in October, led by investors in North America and Asia, reflecting a renewed shift toward safe-haven investments.

Wall Street analysts view gold’s current stability at USD 4,000 as a consolidation phase ahead of a potential new rally, with major financial institutions such as Bank of America projecting prices could reach US$5,000 per ounce.

Dar Al-Sabaik suggested that the combination of weak economic data, the prolonged U.S. government shutdown, and the absence of strong market catalysts will continue to support gold’s upward momentum. Any further political or economic turbulence, it said, could push prices even higher.

In Kuwait’s local market, the company reported that a gram of 24-karat gold was priced at around KD 39.95 (US$122), while 22-karat gold was priced at KD 36.29 (US$111). A kilogram of silver was valued at approximately KD 554 (USD 1,810).

An ounce—commonly used as a unit for measuring precious metals—equals 31.103 grams.