Gold prices rose in the Asian session on Monday and were trading near record highs, as the yellow metal benefited from increased safe-haven demand amid growing concerns about a global economic slowdown.

- The decline in the dollar also supported the bullion markets, following a set of weak economic data from the U.S., which bolstered the likelihood of interest rate cuts by the Federal Reserve this year.

- Spot gold rose by about 0.4% to $2,453.51 per ounce, while gold futures expiring in December rose by 1% to $2,495.40 per ounce.

- In recent sessions, Gold futures reached record highs above $2,500 per ounce. However, spot gold prices were trading about $25 away from the record high of $2,483.78 per ounce set in July.

- The yellow metal benefited from safe-haven demand after disappointing U.S. economic data, particularly in industrial activity and the labor market, heightened concerns that the world’s largest economy was slowing faster than expected. This led to a sharp decline across most risk-driven markets, especially in equities, Treasuries, and foreign exchange, thereby increasing safe-haven bets on gold.

- The Federal Reserve is expected to cut interest rates by 50 basis points in September and could end the year with a total reduction of 100 basis points, according to CME Fedwatch. Such a scenario is favorable for gold, as lower interest rates reduce the opportunity cost of investing in non-yielding assets.

- On the other hand, Silver futures jumped by 1.2% to $28.720 per ounce, while Platinum futures fell by 0.8% to $958.40 per ounce.

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