Daily News Nuggets | September 5th, 2025 — Here’s what you need to know about today’s most important economic and precious metals news:
US Jobs Report Disappoints: Only 22,000 New Positions Added
The August jobs report surprised markets. The US economy added just 22,000 jobs last month, well below the roughly 75,000 positions economists had expected. At the same time, the unemployment rate rose to 4.3%, the highest level since 2021.
More concerning, June’s figures were revised sharply lower — from a gain of 14,000 to a loss of 13,000 jobs. That revision marks the first monthly decline in payrolls since December 2020 and ends one of the longest employment expansion streaks on record. Taken together, the data point to a meaningful slowdown: hiring has cooled, and consumer spending shows signs of weakening. Financial markets reacted quickly as investors reassessed expectations for Federal Reserve policy.
Fed Rate Cut Now a Done Deal After Jobs Miss
Today’s weak payrolls report all but confirmed a near-term move by the Federal Reserve. Treasury yields fell to multi-month lows as traders priced in a September rate cut. The CME FedWatch tool now shows a substantially higher probability of a quarter-point cut at the Fed’s September 16-17 meeting than it did yesterday.
That shift matters for precious metals: lower interest rates tend to boost demand for gold and silver. When policy loosens, non-yielding assets become relatively more attractive compared with bonds and cash, and the dollar often weakens — both supportive for metal prices. Additionally, a Fed rate cut can reflect growing economic concerns, which typically increases demand for safe-haven assets such as gold.
Markets are already showing a flight to safety in response to the data and shifting rate expectations.
Gold Nears $3,600 in Relentless March Higher
Gold extended its rally this morning, trading near $3,593 per ounce as it continued a strong run in 2025. The metal has logged a substantial year-to-date gain and several consecutive weeks of upward movement, leaving traders and investors debating how much higher prices can go.
With a rate cut now widely expected, gold is well positioned to benefit from looser monetary policy and the associated dollar weakness. Its role as a safe haven during periods of economic uncertainty has been a key factor supporting the advance.
Silver Outshines Gold with 43% Rally This Year
Silver has outperformed gold this year, rising sharply and trading above $41 per ounce for the first time in years. The white metal’s gain in 2025 has been sizable, reflecting similar drivers behind gold — expectations of monetary easing, dollar weakness and increased safe-haven demand — amplified by silver’s smaller market size and greater volatility.
When precious metals rally, silver often leads due to its higher beta versus gold, and that dynamic appears to be playing out this year as investors pour into the sector.
The strength in both metals has drawn attention from central banks and reserve managers around the world as they reassess asset allocations amid heightened global uncertainty.
El Salvador Makes History with First Gold Purchase Since 1990
El Salvador’s central bank has purchased approximately 13,999 ounces (about 397 kg) of gold, a move valued at roughly $50 million. This is the country’s first gold acquisition in 35 years and increases its gold reserves significantly.
The purchase complements El Salvador’s existing cryptocurrency holdings and signals a diversification strategy that balances digital assets with traditional reserves. Coming after the country’s recent IMF agreement, the move suggests that even governments with crypto exposure continue to see value in gold as a long-term reserve asset. Other countries may take notice as global economic volatility persists.