(RTTNews) – Gold hit $4,200 an ounce on Friday and is on track for its first weekly rise in five as the Fed eased bets on a rate hike.
Spot gold jumped 1.3 percent to $4,177 an ounce, while US gold futures rose 1.6 percent to $4,189.84.
The US dollar was on track for its biggest weekly decline in nearly three months as soft US jobs data prompted traders to reduce rate hike bets.
Overnight data showed US jobs growth slowed sharply in June, and data from the previous two months was revised lower, raising expectations the Fed will keep rates on hold this month and potentially into September.
The June jobs report also challenged narratives that the Fed might raise rates in the second half of this year.
Elsewhere, eurozone prices are moving closer to stability after inflation in the region eased in June. The urgency for immediate action has now diminished and investors see only a one in three chance of a hike in July.
On the geopolitical front, US President Donald Trump said in an interview with CNBC that talks with Iran are progressing and Tehran has agreed to “everything we need”.
Trump claimed that Iran would buy American agricultural products as part of a possible peace deal to end the war – a statement Iran has denied.
Meanwhile, Iran’s main military command, Khatam al-Anbiya Central Headquarters, said the Strait of Hormuz is not an “aggressive US playground” and any US interference in the vital waterway would be responded to “decisively and quickly”.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Reflect the views of.
