Gold and Silver Markets Cautious Ahead of US Inflation Releases
The precious metals market was cautious on Monday as investors awaited key inflation releases. Spot gold hovered near $4,329.20 per ounce after a decline of 0.28%, while spot silver ticked up 0.55% to $63.80.
Last week's jobs report weighed heavily on the market, with nonfarm payrolls contracting by 23,000 and the unemployment rate coming in at 4.1%. Revisions to earlier months shaved off a combined 103,000 jobs, lowering the market-implied odds of a September Federal Reserve rate increase to roughly 44%.
The Strait of Hormuz remains a key geopolitical driver for oil prices, with Iran requiring certain conditions be met before reopening the waterway. This has created a dual effect on gold: elevated oil prices and heightened shipping risks bolster defensive buying, yet a sustained rally in crude could revive inflationary pressures.