Asian trading : Gold Hits Historic High as Dollar Weakens, Stock Markets Mixed

Gold prices soared to a historic record high on Tuesday as a weaker dollar and expectations of U.S. interest rate cuts pushed investors toward safe-haven assets.

In early Asian trading, gold climbed to $3,501.59 per ounce, surpassing the previous record of $3,500.0 set in April. According to Ipek Ozkardeskaya of Swissquote Bank, this surge reflects not only a softer dollar but also strong demand from foreign central banks and institutional investors, who are shifting away from U.S. Treasuries due to growing concerns over U.S. debt, declining valuations, trade tensions, and geopolitical risks.

With Wall Street closed on Monday for Labor Day, investors were left waiting for new direction, leading to a mixed performance in stock markets. Tokyo, Seoul, and Jakarta traded higher, while Hong Kong and Shanghai slipped after initial gains.

Alibaba shares in Hong Kong had jumped nearly 20 percent on Monday after reporting strong AI-driven revenue growth and bumper results. However, some profit-taking by investors caused a slight decline on Tuesday. Charu Chanana of Saxo Markets noted that while U.S. tech giants face growing questions over AI monetization and high valuations, Chinese firms are showing real revenue growth from AI and cloud services.

Meanwhile, Japan’s corporate world was shaken after the CEO of beverage giant Suntory resigned following a scandal linked to illegal drug investigations.

In the oil market, prices rose ahead of the upcoming OPEC+ meeting this weekend, where the cartel is widely expected to maintain its production levels unchanged.