Gold prices increase on Friday as investors await US jobs data
Date
11/3/2024 3:30:50 AM
(MENAFN) Gold prices increased on Friday, setting up for a modest weekly gain as investors awaited U.S. jobs data for further insight into potential interest rate moves. Spot gold rose 0.4 percent to USD2,753.75 per ounce by 05:40 GMT, Reuters reported. For the week, prices were up 0.2 percent after dropping on Thursday despite hitting a record high of USD2,790.15 per ounce earlier that day. U.S. gold futures also rose, climbing 0.5 percent to USD2,763.60.
Analyst Edward Meir from Marex observed that investors continue to buy gold on the dip, expecting market volatility to persist through the U.S. election and possibly beyond. This trend comes as a recent Reuters/Ipsos poll shows Democratic Vice President Kamala Harris leading former Republican President Donald Trump by a narrow margin of 46 percent to 43 percent.
In October, gold prices rose more than 4 percent as rising Middle East tensions and uncertainty over the U.S. election fueled safe-haven demand. Investors are now focused on the U.S. non-farm payrolls report, expected at 12:30 GMT, which could offer insights into the strength of the U.S. economy. Additionally, according to the FedWatch tool, there’s a 95 percent chance traders anticipate the Federal Reserve will reduce interest rates by 25 basis points next week.
Gold tends to perform well in low interest rate environments. Data on Thursday indicated U.S. unemployment claims had dropped to a five-month low. In other precious metals, spot silver increased 0.3 percent to USD32.75 per ounce, while platinum held steady at USD988.08, with both metals on track for weekly gains. Palladium rose 0.2 percent to USD1,108.36, rebounding after reaching its lowest level in over a week earlier in the session.
MENAFN03112024000045015839ID1108845255
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.