Gold extends gains on Wednesday
Gold prices rose to around $4,090 per ounce on Wednesday, extending gains from the previous session, as investors looked ahead to major economic releases.
Key focal points include the FOMC meeting minutes later today, followed by Thursday’s jobs report, both of which could provide more clarity on the interest rate outlook.
US agencies have started rolling out data delayed by the government shutdown, with Americans claiming unemployment benefits hitting a two-month high in mid-October and continued claims rising to 1.9 million for the week ending October 18.
While the figures slightly boosted hopes for a December rate cut, investors worry that upcoming data could limit the Fed’s ability to ease further amid policymakers’ skepticism.
Meanwhile, concerns over lofty tech valuations have weighed on risk sentiment, potentially enhancing gold’s safe-haven appeal amid the ongoing equity market sell-off.
UCapital Asset Management LLP or group companies may have commercial relationships with the companies mentioned. This content is not financial advice.
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