Solid Gold Berjangka | Gold Set for Fourth Weekly Drop as US Jobs Data Boosts Fed Hawks

02:33 18 August in Commodity, SOLID GOLD BERJANGKA | SOLID GROUP

Gold headed for its fourth consecutive week of declines as a robust US jobs report reinforced speculation that monetary policymakers may not be done raising interest rates.

Applications for unemployment benefits fell by the most in five weeks, according to data released Thursday. The figures suggest the healthy economy is making employers reluctant to reduce headcounts, offering more grist to the mill for Federal Reserve hawks who see the need for further tightening. Higher rates are typically negative for non-interest bearing bullion.

The resilient Labor Department data helped challenge the view that central bank rates are peaking, spurring further gains in Treasury yields. That’s increasingly weighing on gold, which is down about 8% from its 2023 high in May.

Spot gold gained 0.1% to $1,890.89 an ounce at 10:10 a.m. in Singapore. It was down 1.2% for the week. The Bloomberg Dollar Spot Index was little changed. Silver, palladium and platinum edged higher.

Source : Bloomberg


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