Gold falls ahead of US jobs data

Gold prices fell to around $4,060 per ounce on Thursday, following a two-day gain, as investors continued to pare back expectations of further monetary easing ahead of key jobs data.

The recent FOMC minutes revealed a split among Federal Reserve officials over the need for rate cuts, torn between concerns about a weakening labor market and persistent inflation.

Traders now assign just a 30% chance of a rate cut next month, down from 50% a day earlier. Meanwhile, the delayed September nonfarm payrolls report is set for release later today and is expected to show modest job growth.

The BLS said it will skip the regular October employment report, as household survey data cannot be collected retroactively, and confirmed that October’s figures will be incorporated into the delayed November release.

Adding to downward pressure, improved risk sentiment across equity markets has reduced gold’s appeal as a safe-haven asset.