Gold Slides as Strong Jobs Data Reinforce Rate-Hike Expectations

Gold prices dipped on Monday due to strong US jobs data that bolstered expectations for higher interest rates. The spot gold price fell by 0.5% to $4,405.47 per ounce as of 0211 GMT, following a 1% drop the previous day.

The US labor market showed significant improvement in August, with job growth accelerating sharply and the unemployment rate holding steady at 4.1%. This development keeps a rate increase this month firmly on the table.

Markets are now looking to key inflation data due later this week for further clarity on the Federal Reserve's policy path. A strong inflation print would reinforce expectations of a Fed hike, lift yields further, and weigh more heavily on gold.