Gold Surges to Seven-Week High Amid USD Weakness

Gold prices surged to their highest level in nearly seven weeks on Wednesday, gaining nearly 3.80% as the US Dollar lost ground and Treasury yields failed to gain traction.

The XAU/USD pair traded at $4,232, its highest since June 18, after bouncing off daily lows of $4,065.

The yellow metal's strength was attributed to USD weakness, soft ADP data, and hopes for a deal reopening the Strait of Hormuz.

US economic data released earlier in the week showed weaker-than-expected job creation, with 44K new jobs added in July, below forecasts of 70K.