Gold Prices Plummet as Fed Rate Hike Expectations Reignite

The recent release of non-farm payroll data has reignited expectations of a September rate hike by the Federal Reserve, causing international gold prices to fall by more than 2% at one point during the session.

The US added 162,000 non-farm payroll jobs in August, nearly three times the market expectation. The combined increase in June and July non-farm payrolls was revised upwards by 55,000, fueling expectations of a Federal Reserve interest rate hike.

This news is bullish for the US dollar and bearish for the Japanese yen and the euro. However, gold prices have been influenced by other factors, including Trump's statement that if the Federal Reserve does not lower interest rates, the United States will stop trading with many countries.