Gold prices surged to an all-time high as geopolitical tensions in the Middle East and key US economic data sparked increased demand for the precious metal. Gold touched a record $2,696.78 per ounce after Israel confirmed the killing of Hamas leader Yahya Sinwar, who was behind the Palestinian groups attack that escalated into a prolonged conflict in Gaza. In times of global unrest, gold is often seen as a safe-haven asset, attracting investors seeking stability.US economic data fuels fed rate-cut speculationOn the same day, US economic data revealed stronger-than-expected retail sales for September, along with a drop in jobless claims. According to the US Labour Department, Southeastern states, recovering from Hurricane Helene, saw unexpected declines in unemployment claims. These economic signals add to growing speculation that the Federal Reserve will continue its interest-rate cuts to support the economy. Lower interest rates benefit gold as it doesnt offer yield, making it more attractive compared to interest-bearing assets.Golds bullish momentum continuesThese were solid data points, said Bob Haberkorn, Senior Market Strategist at RJO Futures. The Fed seems set to reduce rates further, and we could see another quarter-point cut before year-end. Gold has gained 1.4% this week as investors prepare for the upcoming US presidential election on November 5. With both candidates presenting different economic risks, gold is expected to remain well-supported regardless of whether Donald Trump or Vice President Kamala Harris wins. Bullion, up over 30% this year, remains one of the top-performing commodities, bolstered by central bank purchases and rate-cut expectations.Spot gold closed at $2,692.71 per ounce, up 0.7%, while silver saw little change. Platinum declined, and palladium recorded slight gains.