Gold hits over two-week low, US jobs data in focus

Gold hit a more than two-week low ​on Wednesday, pressured by higher ​U.S. Treasury yields and a firmer dollar, as ​investors awaited U.S. jobs data for clues on the interest-rate path.

FUNDAMENTALS

Spot gold steadied at $4,333.49 per ounce by 0017 GMT after hitting its ‌lowest since ⁠August ⁠14 earlier. Prices were trading below their 200-day moving average.

U.S. ​gold futures for December delivery fell 0.4% to $4,380.40. * The U.S. dollar held ​firm, making the greenback-priced metals costlier for buyers using other currencies.


U.S. Treasury yields advanced amid the escalating ​Middle East conflict and worries about rising ⁠inflation.

Although ‌gold is an inflation hedge, higher interest rates weigh on its appeal as it offers no ⁠yield.

The U.S. launched a barrage of ​airstrikes on Iran on Tuesday, prompting Iranian retaliation ​in the most serious escalation in weeks in the conflict that has driven up global energy prices.

Federal Reserve Governor Michael Barr said if inflation does not cool quickly, it will be time for the central bank ‌to increase interest rates.

The ADP employment report is due later in the day and ​the more crucial ​nonfarm payrolls data ⁠is due on Friday.

Data showed U.S. job openings increased in July amid a surge in manufacturing vacancies, but weak ​hiring suggested the labour market remained in a holding pattern.

Among other metals, spot silver gained 0.1% to $64.31 per ounce, platinum edged 0.2% lower to $1,736.93 and palladium fell 0.2% to $1,308.25.

DATA/EVENTS (GMT)

1400 US Factory Orders MM Jul