Gold steady ahead of US jobs data, but heads for best week since March

GOLD prices held steady on Friday (Oct 7) ahead of the US jobs report that could help investors gauge the Federal Reserve’s rate-hike path, and were headed for their biggest weekly gain since March.

Spot gold was little changed at US$1,709.69 per ounce, as of 1.23 am GMT.

Prices have risen about 3 per cent so far in the week, helped by a retreat in the dollar and Treasury yields from multi-year peaks.

US gold futures were flat at US$1,719.90.

The dollar index and benchmark US 10-year Treasury yields were steady after rising overnight.

Investors are now focused on the US nonfarm payrolls report due later in the day, with economists forecasting 250,000 jobs to have been added last month, compared with 315,000 in August.

New Federal Reserve governor Lisa Cook on Thursday added her voice to the US central bank’s broad consensus for continued interest rate hikes.

The number of Americans filing new claims for unemployment benefits increased by the most in four months last week, but the labour market remains tight even as demand for labour is cooling amid higher interest rates.

The German government expects Europe’s largest economy to slide into recession next year as an energy crisis, rising prices and supply bottlenecks take their toll, two sources told Reuters on Thursday, citing provisional figures.

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Gold gains as Treasury yields dip; hawkish Fed caps upside

The Perth Mint’s sales of gold products in September rose 4.2 per cent month-on-month, while silver sales jumped to their highest in seven years, the refiner said in a blog post.

Spot silver fell 0.4 per cent to US$20.56 per ounce, platinum dipped 0.4 per cent to US$918.38 and palladium dropped 0.6 per cent to US$2,247.62. REUTERS