U.S. Government Shutdown Delays Nonfarm Payrolls Report

The U.S. government shutdown has entered a new phase, and its impact is rapidly expanding. From delays in critical economic data releases to growing policy divisions within the Federal Reserve and abnormal capital flows across financial markets, the situation is beginning to shake both the economic and political order of the United States.

Due to the shutdown, the Department of Labor announced that the September Nonfarm Payrolls Report, originally scheduled for release on Friday, October 3, will be postponed. The Bureau of Labor Statistics (BLS) will release the data only after the government reopens. The delay deprives investors of key employment and wage insights, making it harder to assess the economys current momentum.

Meanwhile, the Institute for Supply Management (ISM) reported that the September Non-Manufacturing PMI fell sharply from 52 in August to 50, missing market expectations of 51.7 and hitting the threshold between expansion and contraction for the first time since January 2010. The data suggests that U.S. service-sector activity has nearly stalled, with business sentiment turning notably cautious.

Within the Federal Reserve, internal divisions over the next steps for monetary policy have deepened. New Fed Governor Milan maintained his dovish stance advocating for aggressive rate cuts to support the economy, while other members remained wary of inflation still running above target, arguing for a “higher-for-longer” policy. As the shutdown delays multiple key data releases, the Fed will have to make decisions during an “information blackout,” making the November policy meeting highly unpredictable and raising the risk of potential policy missteps.

Analysts warn that the shutdown could force the government to increase borrowing and expand money issuance, further eroding confidence in the U.S. dollar. As a result, investors have shifted toward alternative safe-haven assets such as gold and cryptocurrencies, reflecting growing unease with the traditional financial system.

Gold Technical Analysis

Spot gold recently surged above $3,900 per ounce, setting a new all-time high. This sharp rally underscores the markets heightened risk-aversion sentiment and signals that global economic and monetary conditions have entered a new era of rising uncertainty.

A major catalyst behind this move is the U.S. government shutdown, which delayed critical reports such as Nonfarm Payrolls. Without these data points, investors find it difficult to gauge fundamental trends and instead turn to safe-haven assets like gold to hedge against uncertainty, driving strong buying momentum.

Moreover, markets broadly expect the Federal Reserve to begin rate cuts in the coming quarters to support slowing growth. Lower interest rates reduce the opportunity cost of holding gold, as bond and savings yields become less attractive, thereby making gold relatively more valuable and fueling further upside.

Trading Outlook:

Gold has broken above the $3,900 resistance zone. Traders should watch the $3,900 level closely — if prices hold above this level, short-term long positions may be favored, with a stop-loss of $10–20.

• Resistance: $3,950 / oz

• Support: $3,900 / oz

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