Forex
Gold Soars to Near 10-Week High on Reduced Rate Hike Expectations
Gold prices rebounded to a near 10-week high on Wednesday, boosted by decreased expectations of Federal Reserve tightening next month.
The price of spot gold rose by nearly 1% to $4,406.34 per ounce by 0330 GMT, while US gold futures for December delivery increased by 0.6% to $4,466.70.
According to Kelvin Wong, a senior market analyst at OANDA, 'The primary driver for gold is the reduction in pricing of rate hikes by the Fed.'
The decrease in interest rate hike expectations was largely due to weaker-than-expected jobs data from last week, which led traders to scale back their bets on US rate hikes.