Expected slowdown in rate hikes keeps gold near record high
Investors are focused on US non-farm payrolls data, which will dictate the extent of gold’s rally
Bengaluru — Gold prices traded on Friday near a five-month high hit the previous session on expectations of a slowdown in US rate hikes next year, pushing bullion towards its biggest weekly gain since August. Investors are focused on US non-farm payrolls data later in the day for clues on the future path of rate hikes by the US Federal Reserve. Spot gold was up 0.2% at $1,240.38 an ounce at 11am GMT, having hit $1,244.32 an ounce in the previous session, its highest since July 17. With a rise of nearly 1.5% this week, gold looked set to clock its best gain since the week of August 24. US gold futures were also 0.2% higher at $1,246.40 an ounce. “The reaction is rather muted, given the massive support from many sides, ie slumping stock markets, falling bond yields, falling Fed rate hike expectations,” said Commerzbank analyst Carsten Fritsch. “Much will depend on the US jobs report today and how it will impact Fed rate hike expectations which have been scaled back so dramatically tha...
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