Gold prices steady as investors await US jobs data

Gold prices remained stable on Wednesday early trade as investors adopted a cautious stance ahead of the release of the monthly US payrolls report.

This key economic data point is expected to influence the Federal Reserve’s decision on interest rate cuts for the remainder of the year.

As of 0436 GMT, spot gold maintained its price at $2,495.00 per ounce. US gold futures, meanwhile, experienced a slight rise of 0.1 per cent, reaching $2,526.40.

At the moment this article was being prepared 0724 GMT, spot gold was traded at $ 2484.00 per ounce. If the downward trend persists, it could potentially hit the support level at $2473 per ounce.

Ahead of the non-farm payrolls report on Friday, investors’ attention will be on job openings data on Wednesday, followed by the ADP employment and jobless claims reports on Thursday.

Market expectations currently lean towards a 50-basis-point (bp) rate cut from the Federal Reserve on September 18th, with a 41 per cent chance of this occurring. However, there is also a 59 per cent chance of a more modest 25-bp reduction.

Elsewhere in the precious metals market, spot silver experienced a slight decline of 0.1 per cent, trading at $28.02 per ounce.  Meanwhile, platinum rose by 0.2 per cent to $905.39, and palladium edged up 0.3 per cent to $941.06.

Both platinum and palladium are primarily used in catalytic converters within vehicle exhaust systems to reduce emissions.

Attribution: Reuters, Amwal Al Ghad English

Subediting: M. S. Salama