Gold prices climbed more than 1% on Thursday, returning above $4,400 an ounce as declines in the US dollar and Treasury yields accompanied a reassessment of expectations for Federal Reserve interest-rate policy.
Investors were also preparing for Friday’s US nonfarm payrolls report, which is expected to provide further information on labour-market conditions. The Japanese yen strengthened as the dollar declined, with possible currency intervention also remaining in focus.
At 04:58 ET (08:58 GMT), XAU/USD gained 1.1% to $4,436.50 an ounce. Gold Futures increased 1.5% to $4,482.61.
Other precious metals also moved higher. XAG/USD advanced 0.9% to $65.94 an ounce, while XPT/USD rose 1.1% to $1,779.24. The US Dollar Index declined 0.4% to 99.21.
Fed’s Williams Says Inflation Continues to Ease
Federal Reserve Bank of New York President John Williams said there was evidence that inflation in the United States was continuing to ease as the impact of tariffs faded.
Williams also said higher energy prices were not spreading into other areas of the services sector.
His comments provided investors with further information to consider when assessing the outlook for Federal Reserve monetary policy.
ADP Reports 38,000 Increase in US Private Payrolls
US private-sector employers added 38,000 jobs during August, according to the latest ADP employment report.
The figures came ahead of Friday’s nonfarm payrolls release, which will provide another measure of conditions in the US labour market.
The data and Williams’ comments followed Federal Reserve Chair Kevin Warsh’s Jackson Hole speech last Friday, where he took a more hawkish stance on monetary policy, according to the source material.
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