Gold Price Fluctuates Amid Dollar Weakness and Fed Rate Hike Expectations
Gold prices have taken a turn in the afternoon session on September 8, after initially rising in the morning. The weakening US dollar is supporting the precious metal, but expectations of the Federal Reserve raising interest rates are putting pressure on gold.
As of 2:34 PM Vietnam time, spot gold price decreased by 0.16% to $4,399.45 per ounce, while December gold futures price dropped by 0.73%, to $4,444 per ounce. The market is currently focused on the US producer price index (PPI) and consumer price index (CPI) releases scheduled for Thursday and Friday.
The recent data release showed strong job growth in the US in August, with an unemployment rate of 4.1%. Traders now predict a 58.4% chance of the Fed raising interest rates next week, significantly higher than the 50% forecast before the jobs report was released.