On Tuesday (October 29th) in the Asian market, gold remained stable and approached historical highs as traders prepared for the release of key economic data that will help lay the foundation for the Federal Reserve's next policy decision, while the countdown to the US presidential election continues.

As investors await the upcoming inflation and employment reports this week, gold prices have climbed above $2755, reaching a high of $2757.60 per ounce, and reaching a historic high of $2758.33 per ounce set last week.

The October non farm payroll report is expected to show the basic resilience of the economy, while the labor market may experience slight fluctuations due to the potential impact of two hurricanes on employment growth.

The September job vacancies and October consumer confidence data in the United States will be released later today, which may provide more clues about the health of the world's largest economy.

The Federal Reserve will announce its interest rate decision during a two-day meeting starting on November 6th. Employment and inflation data, as well as the outcome of the highly competitive presidential election, may affect the decisions of the Federal Reserve.

Economists still expect policymakers to lower interest rates by 0.25 percentage points at the November meeting. Lower borrowing costs are usually unfavorable for gold that does not generate returns.

According to CME's FedWatch Tool, the market expects a probability of approximately 98% for the Fed to cut interest rates by 25 basis points.

This year, the price of gold has risen by about one-third, reaching a historical high last week, close to $2760, supported by continued central bank buying and safe haven demand.

In terms of geopolitics, two security sources and the mayor of Baalbek told Reuters that Israel's attack on the Bekaa Valley in eastern Lebanon has resulted in at least 60 deaths and dozens of injuries.

With the presidential election of Harris and Trump hard to win or lose, gold rose for three consecutive weeks despite the rising yield of US treasury bond bonds (which usually put pressure on gold).

Fund managers have also played a role in this, with hedge funds increasing their net long positions in gold and investors increasing their gold holdings in exchange traded funds (ETFs).

In terms of physical goods, according to the latest statistics from the China Gold Association, China's gold consumption decreased by 11.2% year-on-year in the first three quarters of 2024, as high prices suppressed demand for jewelry.