Gold Halts Rally, Interest Rate Cut Bets Become Main Event
Gold prices held steady around $4,077 per ounce on Friday after a two-day rally, as the market digested US payrolls data and shifted focus to the likelihood of a Fed rate cut in December.
September's nonfarm payrolls data showed the creation of 119,000 jobs—above expectations of 50,000—but the unemployment rate rose to 4.4%, a four-year high.
A series of private employment data and jobless claims indicated a continued weakening of the labor market, which could open the door to an interest rate cut, although the minutes of the Fed's last meeting showed officials remained divided. Lower interest rates are generally a positive catalyst for gold as a non-yielding asset.
Source: Newsmaker.id