Gold Market Update
Spot gold steadied on Friday, rising 0.1% to $4,128.74 an ounce by 19:55 ET (23:55 GMT), while gold futures climbed 0.4% to $4,142.25 per ounce. The modest gain placed gold on track for a 0.9% weekly increase, its first weekly gain in five sessions after having fallen to eight‑month lows earlier in the week.
The price rebound was triggered by softer‑than‑expected U.S. non‑farm payrolls for June, which dampened market expectations that the Federal Reserve will raise interest rates later this year. A weaker jobs report reduced the urgency for further tightening, as a strong labour market is a key condition for the Fed to hike rates.
Following the payroll data, the U.S. Dollar Index slipped from near 13‑month highs, providing additional support to precious metals. Spot silver rose 0.15% to $61.0580 per ounce and spot platinum increased 0.2% to $1,627.92 per ounce.
Gold had erased roughly 13% of its value during the second quarter and had reversed all year‑to‑date gains, underscoring the metal’s sensitivity to interest‑rate expectations. Trading volumes were muted ahead of a U.S. market holiday on Friday.
Federal Reserve policymakers had struck a hawkish tone during their June meeting, and Fed Chair Kevin Warsh reiterated that the central bank would maintain its 2% annual inflation target.