Gold Rebounds Above $4,430 as Dollar Weakness and Geopolitical Tensions Weigh on Oil Prices

Gold prices rebounded above $4,430 as the US dollar weakened ahead of inflation data due soon. The spot price rose by 0.6% to $4,432.79, with a 58-60% chance of a September Fed fund rate hike following strong employment numbers.

The greenback's weakness provided gold with support, while geopolitical tensions and Iran's renewed threats against the US military and energy interests weighed on oil prices near six-week highs.

Central banks remain net buyers of gold, with 23 tonnes purchased in July and a total reported buying of 130 tonnes year-to-date. Gold ETF demand is also strong, with global physically-backed funds earning over $3 billion in July and reaching approximately 4,068 tonnes.