Analyst: The government shutdown in the United States may make it possible for the Federal Reserve to further cut interest rates in December.

Peter Cardillo of Spartan Capital Securities said that gold futures are rising because it is expected that the end of the US government shutdown will allow government data to resume its normal release schedule. This could make it possible for the Federal Reserve to further cut interest rates in December. "Once the government reopens, the previously unreleased macroeconomic data flow may indicate that inflation remains stubborn and the labor market conditions are weaker than what the ADP report shows," he added. "These two factors could prompt the Federal Reserve to cut interest rates in December, despite their repeated cautious language."