Gold Price Stagnant Amid Interest Rate Pressure

The price of gold has been stuck in a narrow range, unable to break through due to pressure from interest rates. On August 3, spot gold prices fluctuated around $4,047.9 per ounce but failed to sustain an upward momentum.

The US manufacturing sector's purchasing managers' index reached 55.6 points in July, exceeding forecasts and indicating the seventh consecutive month of growth. This may prompt the Federal Reserve to continue prioritizing inflation control, which would be detrimental to gold prices as high interest rates increase the cost of holding non-rotating assets.

The market awaits the upcoming jobs report, which could directly impact interest rate expectations. The 4,000 USD/ounce mark remains an important psychological support zone for gold prices, but a break above this level may lead to increased selling pressure.