Gold Prices Set for Another Shock as US Jobs Data and Iran Tensions Loom

Gold and silver markets are facing pressure as investors turn their attention to US employment data, Federal Reserve policy expectations, and geopolitical tensions involving Iran.

The coming week is expected to remain volatile, with market participants attempting to price in the probability of a September Federal Reserve policy change, according to Jateen Trivedi, VP Research Analyst - Commodity and Currency at LKP Securities.

Last week, gold futures for October delivery on the Multi Commodity Exchange (MCX) fell ₹6,157, or 3.8 per cent, to ₹1.56 lakh per 10 grams, while silver futures for September delivery declined ₹9,893, or 4 per cent, to ₹2.36 lakh per kilogram.

Analysts expect the US non-farm payrolls, scheduled later in the week, to be a key market trigger, as it could influence expectations around interest rates and affect dollar and bullion prices.