Gold, Silver Prices Rebound as ADP Miss Cools Fed-Hike Trade

Spot gold and silver prices rebounded in late-afternoon U.S. trading Wednesday as softer private-payrolls data from ADP and an intraday pullback in Treasury yields helped precious metals recover from early-session lows.

The ADP report showed private employers added only 38,000 jobs in August, below expectations and the weakest reading since January. This cooling of job growth tempered some of the hawkish sentiment that had been driving up interest rates and bond yields.

As a result, Fed-hike odds slipped to about 64% from 67%, and Treasury yields eased. The two-year yield dropped to 4.383%, while the 10-year yield slipped to 4.793% after touching 4.814% earlier in the session.