**Gold Prices Surge Amid Looming US Government Shutdown**

As the deadline for a potential US government shutdown approaches, traders are reacting by driving gold prices to new record highs. Meanwhile, US stock markets continue to show resilience, gaining ground despite the uncertainty.

The current funding arrangements for the US government are set to expire at midnight Washington, D.C. time, which is 2:00 PM AEST. Analysts are predicting a 90% chance of a shutdown occurring if a last-minute deal is not reached. Taylor Nugent, a senior economist at NAB markets, stated, "The US remains on track for a government shutdown from midnight tonight absent a last-minute deal, which would likely delay Friday's payrolls release."

Senate Democratic Leader Chuck Schumer expressed concerns about the situation, saying, "They want to try to bully us… That’s why we are heading into a shutdown." President Donald Trump commented on the likelihood of a shutdown, saying, "Nothing is inevitable, but I would say it’s probably likely." He also mentioned that a shutdown could lead to the elimination of certain programs, referring to them as "Democrat things."

Despite the looming shutdown, US stock markets have shown strong performance. Mark Luschini, chief investment strategist at Janney Montgomery Scott, noted that the potential shutdown is influencing trading behavior. He said, "Maybe there’s some position-squaring in advance of the prospect of a government shutdown. Were that to occur, and last beyond Friday, we’ll start to accumulate significant economic data such as the jobs report on Friday that won’t be released. That leaves investors a little bit in the shadows with regard to what’s going on on the ground."

Despite these concerns, all three major US indices closed higher. The S&P 500 rose by 0.4%, the Nasdaq increased by 0.3%, and the Dow Jones Industrial Average gained 0.2%. The S&P 500 has now risen for five consecutive months, while the Nasdaq has seen six months of gains.

In addition to stock market activity, investors are seeking safe havens, leading to a surge in gold prices. The price of gold reached a new record high of $3,871.45 overnight, reflecting the growing demand for secure investments amid economic uncertainty.

As the situation develops, traders and investors will be closely monitoring the negotiations in Washington, D.C., and the potential impacts on the economy and financial markets.