Gold Surges on Weak US Jobs Report, Bitcoin Reclaims Support
The US Nonfarm Payrolls (NFP) report for July showed an unexpected decline of 23,000 jobs, falling short of the predicted 80,000 growth. This development has led to a reduction in rate hike bets and a shift in monetary policy expectations.
Gold prices have surged by more than 8% to $4,350, marking its best week since January, as the weak US NFP trimmed rate hike bets. Bitcoin has also reclaimed support above $65,000, with crypto market sentiment improving.
The CME FedWatch Tool indicates a 55.9% chance that the Federal Reserve will leave interest rates unchanged in September, down from previous expectations of a rate hike. This shift in monetary policy expectations has contributed to the improvement in risk appetite and the subsequent recovery in Bitcoin prices.