Gold prices steady – London Business News | Londonlovesbusiness.com

Gold prices have stabilised near recent highs as the market awaits the US non-farm payroll report.

This report is expected to influence the upcoming Federal Reserve’s interest rate decision at the September meeting.

Recent data has shown a weakening labour market, raising concerns about the economy. The ADP report revealed that US private employers hired the fewest workers in 3.5 years in August, job openings dropped in July, and manufacturing activity was subdued.

This has increased the likelihood of larger interest rate cuts. Aggressive rate cuts could further support gold prices.

Market participants now turn their attention to key US job data due later today. If job growth is weaker than expected market expectations for a significant rate cut could strengthen, benefiting gold prices.

Other factors, such as economic uncertainties in the US and China, have also supported demand for gold. Additionally, strong demand from central banks and ongoing inflows into global gold ETFs also fuel gold’s strength.