Gold prices have reached historically high levels on Wednesday, backed by demand for safe shelters, as the US government closed most of its services, while increasing expectations to reduce US interest rates have reinforced the attractiveness of the metal.

Gold rose 0.8% to $ 3,886.97 a ounce, having reached a historic high of $ 3,898.18.

The dollar was weakened against a basket of other top coins, making gold priced in dollars more accessible to overseas buyers.

“The dollar is weakened by expectations for an increasingly lenient attitude of the Fed,” said Activtrades analyst Ricardo Evangelista, referring to the US Federal Bank.

“This momentum accelerated after the failed attempt to vote on the bill on expenditure, which caused the government to close, which could negatively affect economic production,” he added.

The closure of the US government, caused by Congress’s and White House failure to reach an funding agreement, could lead to the loss of thousands of jobs in the public sector and delay the announcement of financial data, including the non -agricultural report.