Gold Prices Surge Above $4,300 in US Amid Weaker Dollar and Rate Hike Expectations

Gold prices have surged above $4,300 per ounce in the US due to a weaker dollar and expectations of interest rate hikes from the Federal Reserve. The spot gold price rose by 1.6% to $4,308.92 per ounce on August 7, with investors seeking safe-haven assets amid speculation of a policy change.

The MCX gold futures contract for October increased by ₹1,272 (0.85%) to ₹1,50,130 per 10 grams, while the silver contract for September surged by 3.56% and climbed ₹8,040. The weekly gain was more than 6.6%, the biggest since November last year.

The US dollar's weakness has supported gold prices, with a 55% chance of a rate move from the Federal Reserve in September priced into the market. However, investors are advised to be cautious due to potential volatility surrounding upcoming economic reports.