Gold prices moved higher on Wednesday as investors awaited the minutes from the U.S. Federal Reserve’s latest monetary policy meeting, as well as the upcoming U.S. jobs report, which may offer further indications on the future path of interest rates.
اضافة اعلان
Spot gold rose 0.2% to $4,074 per ounce at 04:49 GMT. U.S. gold futures for December delivery increased by the same percentage to $4,074.40 per ounce.
Tim Waterer, chief market analyst at KCM Trade, said that the momentum behind gold had been dampened by the strength of the U.S. dollar and uncertainty regarding the timing of the next Federal Reserve interest rate cut.
“However, a wave of risk aversion in the market has kept gold in focus as a safe haven asset, limiting the downside,” he added.
The U.S. dollar index rose 0.1% against major currencies, making gold more expensive for holders of other currencies.
Global stock markets experienced sharp declines this week, with the S&P 500 recording four consecutive days of losses due to concerns over the valuation of artificial intelligence-related stocks.
Investors are now awaiting the release of the latest Federal Reserve meeting minutes, expected later on Wednesday, as well as the non-farm payrolls report for September, due Thursday after being delayed by the U.S. government shutdown.
Economists surveyed by Reuters expect the report to show that employers added 50,000 jobs during the month.
Data released on Tuesday showed that the number of Americans receiving unemployment benefits reached the highest level in two months in mid-October.
The Federal Reserve cut interest rates by 25 basis points, but Chair Jerome Powell expressed caution about further rate cuts this year, partly due to a lack of sufficient data.
Gold, which does not yield interest, typically performs well in low interest rate environments and during periods of economic uncertainty.
Among other precious metals, spot silver rose 0.4% to $50.90 per ounce, platinum fell 0.2% to $1,533.82, while palladium increased 0.6% to $1,409.19.
Reuters
