Gold Stabilizes as US Jobs Data Eases Rate Hike Fears

Gold prices held steady on Friday after a surprise contraction in US jobs data eased concerns about an interest-rate hike, sending a boost to commodities priced in the dollar.

Data released last week showed US employers cut jobs in July, while hiring in the prior two months was revised lower, indicating a weaker labor market than previously thought.

The jobs report led to reduced bets on near-term rate hikes by Federal Reserve policymakers, who are increasingly divided on how to rein in inflation fueled by the war in the Middle East.

Gold has been holding above the key $4,000-an-ounce support threshold in recent weeks, with dip-buyers emerging since a war-driven slump that led the metal into a bear market in June.