Gold Holds Near $2,500 Before US Data That May Shape Rate Path
Gold held a decline ahead of US employment data that may influence the Federal Reserve's rate-cutting path.
Bullion traded near $2,500 an ounce, after falling almost 1% over the previous two sessions. The nonfarm payrolls report due Friday may provide insights into the speed at which the central bank will cut rates, with a weaker labor market likely to raise expectations for more aggressive easing. Lower rates are usually bullish for non-interest bearing gold.
Bullion is up more than 20% this year. Along with monetary-easing optimism, it's been supported by robust over-the-counter purchases, central-bank buying, and haven demand given conflicts in the Middle East and Ukraine
Spot gold was 0.1% lower at $2,496.83 at 8:09 a.m. in Singapore, after peaking at a record $2,531.75 in August. The Bloomberg Dollar Spot Index was little changed, following a 0.3% gain over the previous two sessions. Silver was steady, while palladium and platinum declined
Source: Bloomberg
