Gold eases as strong US jobs data boosts Fed rate-hike bets
GLD•Other precious metals also fall
Among other metals, spot silver XAG= slid 1% to $65.48 per ounce, platinum XPT= pushed down 0.2% to $1,817.67, and palladium XPD= climbed 0.6% to $1,395.00.
Inflation data and geopolitical tensions remain in focus
Data last week showed U.S. job growth accelerated sharply in August while the unemployment rate held steady at 4.1%.
Traders see a 58% chance of an interest rate hike at the central bank's policy meeting next week, according to the CME FedWatch Tool, compared with a probability of 50% before the jobs data was released on Friday.
The U.S. producer price index data is due on Thursday and the consumer price index data is scheduled for the next day.
Inflation worries remained high as a weekend exchange of strikes on shipping sent oil prices higher, while Iran said it will announce a new restricted zone in the Gulf in the coming days, along with maps of a new shipping corridor through the Strait of Hormuz. O/R
Although gold is typically seen as an inflation hedge, higher interest rates tend to diminish non-yielding bullion's appeal to investors.
However, U.S. President Donald Trump on Friday said that unless the Fed cut rates, something that he has demanded previously, he would stop trading with countries with which the United States had a deficit.
Gold slips after strong U.S. jobs data boosts rate-hike expectations
Sept. 7 (Reuters) - Gold eased on Monday after a robust U.S. jobs report bolstered expectations of a Federal Reserve interest rate hike this month, while investors awaited key inflation data for further clues on the monetary policy outlook.
Spot gold XAU= fell 0.8% to $4,392.88 per ounce by 1036 GMT. U.S. gold futures GCcv1 for December delivery dropped 0.8% to $4,438.70, with trading volumes low due to a U.S. holiday.
