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By 3 Minutes Read* The majority of U.S. markets were closed on Monday* The Fed’s minutes are due on Wednesday* China’s June services activity growth fell to a 14-month low* Technicals suggest that spot gold could advance to $1,813/oz. (Includes a chart, details, and price changes) Reuters, July 5 – On Monday, gold maintained at a two-week high as fears of an earlier-than-expected rate hike by the Federal Reserve faded following a mixed bag of U.S. jobs data, and attention switched to minutes from the central bank’s June policy meeting. Holding bullion, which pays no interest, has a lower opportunity cost when interest rates rise. As of 0524 GMT, spot gold was unchanged at $1,786.90 per ounce, following touching a high of $1,794.86 on Friday. For the Fourth of July holiday, most U.S. markets were closed on Monday. Gold futures in the United States climbed 0.2 percent to $1,786.80. “Last week’s payroll numbers sent a lot of mixed signals, and the data wasn’t substantial enough to shift the Fed needle,” SPI Asset Management managing partner Stephen Innes said. “However, in the United States, economic growth is strong, and inflation is high… We must remain vigilant, as markets continue to favor a hawkish Fed, which will limit gold’s upside potential.” According to data released on Friday, U.S. businesses employed the most people in ten months in June, while unemployment rose, labor participation remained unchanged, and the rate of hourly wage growth slowed. Meanwhile, a resurgence in the labor market in the United States is focusing investors’ attention on economic data and the Federal Reserve’s next move, as markets welcome more evidence of a robust economic recovery amid concerns about persistent inflation. The minutes of the Fed’s most recent meeting, which will be released on Wednesday, may provide more insight into policymakers’ views on inflation and monetary policy. According to Reuters technical analyst Wang Tao, spot gold may break a barrier at $1,789 per ounce and advance to $1,813, as indicated by its wave pattern and retracement analysis. According to a private poll released on Monday, growth in China’s services sector slowed drastically in June to a 14-month low, driven down by a return of COVID-19 cases in southern China. Silver jumped 0.3 percent to $26.53 per ounce, palladium 0.3 percent to $2,793.23, and platinum 0.5 percent to $1,095.43 per ounce. Brijesh Patel contributed reporting from Bengaluru, and Subhranshu Sahu and Sherry Jacob-Phillips edited the piece./nRead More

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