Gold Edges Higher Amid Softer Dollar, US Jobs Data Looms

Gold prices ticked up on Wednesday as a softer dollar made dollar-priced gold more attractive. Spot gold rose 0.1% to US$4,081.09 per ounce, while US gold futures fell 0.4% to US$4,137.20.

The US dollar's subdued state was a key factor in the rise of gold prices. A softer dollar makes dollar-priced assets more appealing to holders of other currencies.

Investors are awaiting key US jobs data for clues on the Federal Reserve's next monetary policy move. The US July payrolls report is due on Friday, and the ADP employment report will be released later on Wednesday.

The recent spike in oil prices due to conflict has sparked bets that the Fed might need to raise interest rates to keep inflation in check. Traders are now pricing in a 57% chance of a rate hike at the US central bank's September 15-16 meeting.