Gold rises for fourth session as US jobs data lifts Fed rate cut bets
Spot gold was up 0.1% at $3,375.89 per ounce as of 0239 GMT. U.S. gold futures also gained 0.1% to $3,430.40.
The dollar index hovered near a one-week low, making gold more affordable to holders of other currencies.
The yield on the benchmark 10-year Treasury note US10YT=RR dropped to a one-month low.
"Short-term momentum has improved for the bullish side of the story...fundamental narrative supporting gold prices is that the Fed is still in the mode to actually cut rates in September," OANDA senior market analyst Kelvin Wong said.
U.S. employment growth was softer than expected in July, while non-farm payroll figures for May and June were revised down by a massive 258,000 jobs, suggesting a deterioration in labor market conditions.
Traders now see a 92% chance of a September rate cut, per the CME FedWatch tool.
San Francisco Fed Bank President Mary Daly said on Monday that given mounting evidence that the U.S. job market is softening and that there is no sign of persistent tariff-driven inflation, the time is nearing for rate cuts.
Gold, traditionally considered a safe-haven asset during political and economic uncertainties, tends to thrive in a low-interest-rate environment.
On the trade front, President Donald Trump once again threatened on Monday to raise tariffs on Indian goods over its Russian oil purchases. New Delhi called his remarks "unjustified" and vowed to protect its economic interests, deepening the trade rift between the two countries.
Still, gold faces some technical resistance. "I still do not see traders pushing up aggressively above the $3,450 level. Unless we have a very clear catalyst for gold price to actually pick up this level" OANDA's Wong said.
Elsewhere, spot silver rose 0.1% to $37.44 per ounce, platinum gained 0.1% to $1,330.31 and palladium was up 0.2% to $1,204.25.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CNBC
43 minutes ago
- CNBC
CNBC Daily Open: Russian oil costs India big
India's set to face a 50% tariff after the White House announced an additional 25% levy on the South Asian country Wednesday over its purchases of Russian oil. That's now among the highest duties on any of the U.S.' trading partners. New Delhi responded swiftly in a statement Wednesday, describing the U.S.' decision to raise tariffs as "unfair, unjustified and unreasonable," and that the country's imports are based on market factors and to ensure energy security for its population. Earlier on Monday, India's Ministry of External Affairs called out what it says is selective enforcement in a statement, adding that "it is revealing that the very nations criticizing India are themselves indulging in trade with Russia." It cited data that showed the EU's trade was "significantly more" than India's total trade with Russia. And it seems that India isn't the only country on U.S. President Donald Trump's radar as he sets to punish countries that buy oil from Russia. His latest executive order also directs his administration to "determine whether any other country is directly or indirectly importing Russian Federation oil," and the actions, if any, that need to be taken on that country. — U.S to impose 50% tariff on India over Russian oil purchases. Trump announced in an executive order Wednesday that the new 25% duties will come into effect in 21 days, while the previously announced 25% rate will kick in Thursday. Semiconductor tariffs of 100%. Unless companies can manufacture in the U.S., Trump said Wednesday that he would impose that tariff rate on imports of semiconductors and chips into the country. U.S. stocks gain on Apple's investment. Markets gained Wednesday after Apple's shares climbed 5% on its increased U.S. manufacturing investment. The European Stoxx 600 was flat, while the Swiss Market Index fell 0.9% as Swiss officials met with their counterparts to continue tariff negotiations. Apple commits $100 billion to U.S. expansion. Apple CEO Tim Cook and President Donald Trump unveiled the manufacturing boost Wednesday. That's on top of the $500 billion that the iPhone maker announced in February, and brings its total U.S. investment to $600 billion over the next four years. [PRO] Chip stocks have been going through a rough ride this earnings season. Texas Instruments, ON Semiconductor, Qualcomm, and Arm posted earnings beats but were met with steep sell-offs as investors demand more than solid execution. Why India is in Trump's crosshairs when crude is not even sanctioned India was once encouraged to buy Russian crude by the United States. It is one of the biggest buyers of Russian oil, according to data from Kpler, which shows total Russian crude exports amount to around 3.35 million barrels per day, of which India takes about 1.7 million. Sara Vakhshouri, the founder and president of SVB Energy International, told CNBC the hefty duties announced by Trump are a "negotiation tactic," aimed at "reclaiming lost U.S. oil market share in India and oil export declines since 2022, and securing equivalent export of other commodity to India." —
Epoch Times
2 hours ago
- Epoch Times
Trump Says ‘Great Progress' Made With Russia, Says He Intends to Meet With Putin, Zelenskyy
President Donald Trump doubled tariffs on India for purchasing Russian oil. He also announced that Apple will invest another $100 billion in the United Sates. Trump said there's a 'good chance' that he'll meet with Russia's Vladimir Putin 'very soon.' It comes after Trump says the United States had some good talks with Putin ea...
UPI
4 hours ago
- UPI
Ukraine war: Trump wants trilateral meeting with Putin, Zelensky
President Donald Trump on Wednesday said he will work to arrange a trilateral meeting with Russian President Vladimir Putin and Ukrainian President Volodymyr Zelensky to end the war in Ukraine. Photo by Bonnie Cash/UPI | License Photo Aug. 6 (UPI) -- President Donald Trump said he will work to schedule a trilateral meeting soon with Russian President Vladimir Putin and Ukrainian President Volodymyr Zelensky to end the war in Ukraine. Trump announced his intent to meet with the leaders of the warring nations as early as next week after special Envoy Steve Witkoff met with Putin on Wednesday. "Steve Witkoff just had a highly productive meeting with Russian President Vladimir Putin," Trump said in a Truth Social post. "Great progress was made." Witkoff and Putin met ahead of Friday's Trump-imposed deadline for a cease-fire in Ukraine. Trump said he apprised some of the nation's allies in Europe of the meeting's content. "Everyone agrees this war must come to a close," he said, "and we will work towards that in the days and weeks to come." The president also said he would meet with Putin as early as next week and afterward wants to meet with Putin and Zelensky at the same time, The New York Times reported. Trump and Zelensky spoke by phone after the Witkoff-Putin meeting and said "it seems Russia is more inclined toward [a] cease-fire," as reported by CNN. Putin called the meeting "constructive and useful," Russian state media outlet TASS reported. "Putin conveyed some signals to the United States on the Ukrainian issue," the Kremlin told state-controlled RIA Novosti. Witkoff and Putin met for about three hours after Trump threatened to impose 100% tariffs on nations that buy oil from Russia if a cease-fire isn't declared by Friday. He also announced a 25% tariff on India for buying and reselling "massive amounts of Russian oil" and intends to increase the tariff to 50% in three weeks, The Washington Post reported. Trump says such trade with Russia funds its war against Ukraine, which Russia started on Feb. 24, 2022.
