Gold Trading Near One-Month High Amidst U.S. Labor Market Slowdown

One sentence summary – Gold is trading near a one-month high as recent data suggests a slowdown in the US labor market, reducing the likelihood of another interest rate hike and prompting traders to monitor inflation readings, while the US dollar is on track for its first monthly rise in three months and benchmark Treasury yields are set for their fourth consecutive monthly climb, potentially leading to a 1% decline in gold prices in August, although non-interest-paying bullion has shown some recovery in the latter half of the month offsetting losses, and investors are watching the softness in the personal consumption expenditures index for potential support for a move higher for gold.

At a glance

  • Gold is trading near a one-month high
  • Recent data indicates a slowdown in the U.S. labor market
  • Probability of another U.S. interest rate hike has been reduced
  • Traders are closely monitoring the upcoming inflation reading
  • Spot gold has risen by 0.2% and is valued at $1,946.60 per ounce

The details





Gold is currently trading near a one-month high.

This is due to recent data indicating a slowdown in the U.S. labor market.

The probability of another U.S. interest rate hike has been reduced.

This is prompting traders to closely monitor the upcoming inflation reading.

Spot gold has risen by 0.2%.

It is currently valued at $1,946.60 per ounce.

U.S. gold futures have seen a 0.1% increase.

They are now reaching $1,973.80.

The U.S. economy experienced slightly slower growth in the second quarter than anticipated.

Private payrolls rose at a slower rate in August compared to July.

Job openings reached a 2-1/2-year low in August.

Weaker-than-expected data suggests that peak interest rates may arrive sooner than initially projected.

The U.S. dollar is on track to record its first monthly rise in three months.

Benchmark 10-year Treasury yields are set for their fourth consecutive monthly climb.

As a result, dollar-priced gold is expected to decline by 1% in August.

However, non-interest-paying bullion has shown some recovery in the latter half of the month.

This has partially offset its losses.

Despite this, gold prices remain below a key resistance level of $1,950.

Investors are eyeing the softness in the personal consumption expenditures (PCE) index.

This could potentially support a move higher for gold.

In related precious metal news, silver has seen a slight decline of 0.3%.

It is currently valued at $24.59 per ounce.

Conversely, platinum has experienced a 0.5% increase.

It is heading for its second consecutive monthly gain.

Palladium, on the other hand, has risen by 0.7%.

However, it is expected to witness a 4% monthly fall.

These developments highlight the current state of gold prices.

They are influenced by multiple factors including labor market data, interest rate expectations, and the performance of the U.S. dollar.

Traders and investors will continue to closely monitor economic indicators.

This is to gauge the future direction of gold prices.


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cnbc.com
– Gold is trading near a one-month high.
The odds of another U.S. interest rate hike have been reduced due to data indicating a slowing labor market.
– Traders are watching for the upcoming inflation reading.
– Spot gold is up 0.2% at $1,946.60 per ounce.
– U.S. gold futures are up 0.1% to $1,973.80.
The U.S. economy grew at a slightly slower pace than expected in the second quarter.
– Private payrolls rose at a slower rate in August compared to July.
– Job openings hit a 2-1/2-year low in August.
– Weaker-than-expected data suggests that peak interest rates may come sooner than expected.
The U.S. dollar is on track for its first monthly rise in three months.
– Benchmark 10-year Treasury yields are set for their fourth straight monthly climb.
– Dollar-priced gold is expected to fall 1% in August.
– Non-interest-paying bullion has recovered some of its losses in the second half of the month.
– Gold prices are below a key resistance level of $1,950.
– Softness in the personal consumption expenditures (PCE) index could support a move higher for gold.
– Silver is down 0.3% to $24.59 per ounce.
– Platinum is up 0.5% and heading for its second consecutive monthly gain.
– Palladium is up 0.7% but is set for a 4% monthly fall.

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