Gold prices climbed back above $4,000 per troy ounce, and stock futures showed little change as the government shutdown reached its tenth day.
Dow Futures Little Changed as Shutdown Continues
Dow futures remained steady on October 10, 2025, as the U.S. federal government entered its 10th day of shutdown. The Senate adjourned until Tuesday with unresolved negotiations over funding, while the House’s return date remains uncertain. Both parties continue discussions, particularly on healthcare funding, but no resolution is expected this week.[1][2]
Gold Prices Surge Above $4,000
Gold prices broke the historic $4,000 per troy ounce mark, closing near $4,004.40 on October 7, 2025. This milestone was driven by investor demand for safe-haven assets amid geopolitical tensions, economic instability, and a weakening U.S. dollar, which has dropped about 10% this year. The Federal Reserve’s September interest rate cut also made gold more attractive compared to lower-yielding bonds. Gold has risen approximately 50% in 2025, supported by central bank buying and retail investor interest.[3][4][5]
Government Shutdown Status
- Began October 1, 2025, due to failure of Congress to pass funding bills.
- Affects roughly 40% of federal workforce, placing 750,000 workers on unpaid leave.
- Senate votes on competing bills have failed; no end in sight before Tuesday.
- Democrats seek continuation of health care subsidies and Medicaid funding.
- Several Senate negotiations termed “productive” but stalemated.[6][2][1]
Consumer Sentiment Index Drops
The University of Michigan’s preliminary Consumer Sentiment Index for October 2025 fell to 49.8 from 51.8 in September. The decline indicates weakening optimism among U.S. households about economic conditions and personal financial outlooks, largely influenced by inflation concerns and the government shutdown. The survey covers at least 500 households monthly and influences consumer spending expectations.[7][8][9]
Federal Employees Return for Key Inflation Report
Some furloughed federal workers are recalled to prepare and release the September Consumer Price Index (CPI) next week. The CPI in Ireland, often reflecting similar economic trends, showed a 2.7% year-over-year increase in September 2025, the highest since March 2024. U.S. CPI data release is scheduled for October 15, 2025.[10][11]
China Expands Rare-Earth Export Controls
China tightened its export controls on rare-earth metals on October 9, 2025, adding five new elements to an existing list of seven restricted metals. The controls also target downstream processing equipment and technologies related to rare-earths, including for semiconductor and defense sectors. This move comes ahead of high-stakes trade talks with the U.S. and is expected to impact global supply chains in advanced manufacturing and technology industries.[12][13][14]
Market Movements
- Treasury yields slightly declined, with the 10-year note yield easing to 4.11% on October 10, 2025.
- The U.S. dollar weakened against the Japanese yen and euro.
- Japan’s Nikkei 225 index fell about 1% on October 10 after a strong weekly rally, influenced by political uncertainty and market profit-taking.[15][16][17][18]
