Gold prices steady as investors await Fed Chair’s comments

Gold prices remained flat on Tuesday as investors eagerly awaited remarks from Federal Reserve Chair Jerome Powell and analysed jobs data for insights into the US central bank’s interest rate outlook.

Spot gold maintained steady at $2,331.41 per ounce as of 0238 GMT and US gold futures edged up 0.1 per cent to $2,341.80.

To break above the current range, the market needs to observe further weak data points that increase the likelihood of a Fed rate cut in September, according to Kelvin Wong, a senior market analyst for Asia Pacific at OANDA.

Traders are watching Powell’s upcoming statements, ADP employment data, ISM services PMI, and the Fed’s meeting minutes this week. The nonfarm payrolls report is due on Friday.

Recent data revealed that US manufacturing shrank for a third consecutive month in June. Furthermore, a decline in the measure of prices paid by factories for inputs suggests that inflation may continue to subside.

Meanwhile, spot silver declined 0.2 per cent to $29.38 per ounce, platinum was nearly unchanged at $977.00 and palladium surged 1.2 per cent to $983.09.

Attribution: Reuters