Gold gains as US jobs data eases rate-hike fears, but heads for weekly loss
GLD•Gold rose 1.1% after weaker-than-expected September US jobs data reduced rate-hike concerns, but remained down about 1.5% for the week. Traders saw a 14% chance of a rate hike this month, down from 28% before the data.
1. Gold rebounds
Spot gold rose 1.1% to $4,223.49 an ounce on Friday, while US gold futures gained 1.2% to $4,254.10. Spot gold was still down about 1.5% for the week.
2. Jobs data shifts bets
US nonfarm payrolls increased by 29,000 in September, below economists’ forecast of 90,000. Traders’ estimated chance of a rate hike this month fell to about 14%, from 28% before the jobs data and around 70% earlier in the week.
3. Other metals rise
A weaker dollar helped lift gold, while elevated Treasury yields remained a headwind. Silver rose 2% to $62.07, platinum gained 1% to $1,740.53 and palladium advanced 2.2%; all three were poised for weekly losses.
