By 3 Minute Read* Gold is down 7.6% so far this month* Platinum is on track for its worst quarter and month since March of last year* Investors anticipate Friday’s U.S. jobs report (Add analyst comments and updates prices) 30 JUNE (Reuters) – On Wednesday, gold was lingering around a two-month low as investors anticipated further clarity on the Federal Reserve’s policy stance from U.S. jobs data, with the precious metal on track for its biggest monthly drop since November 2016. As of 0254 GMT, spot gold was down 0.1 percent at $1,763.63 per ounce, after hitting a low of $1,749.20 on Tuesday. Gold futures in the United States were unchanged at $1,763.50. Bullion prices fell 7.5 percent for the month, driven down by the Federal Reserve’s unexpected hawkish tilt. However, for the quarter, they were up 3.3 percent. “Gold has held near the lows since the Fed’s monetary policy plan shift, and it now awaits additional guidance from U.S. economic data,” said DailyFX currency expert Ilya Spivak. “In the short term, non-farm payrolls on Friday will be the major driver for the market; if they show increased wage inflation and solid job growth, we’ll see gold’s next floor.” According to a Reuters survey, nonfarm payrolls in the United States are expected to increase by 690,000 jobs this month, up from 559,000 in May. Governor Christopher Waller of the Federal Reserve stated on Tuesday that he is “extremely bullish” about the economy and that interest rates could begin to rise next year. A rate hike by the Fed will raise the opportunity cost of owning bullion, making it less appealing. On the technical side, gold’s inability to break through the 100-day moving average was a bearish indicator, according to ANZ, which could inspire so far patient exchange-traded fund (ETF) investors to participate in the selling. The price of silver increased by 0.3 percent to $25.82 per ounce. Palladium rose 0.5 percent to $2,689.73, putting it on track for a fourth consecutive quarterly increase. Platinum increased 0.3 percent to $1,070.38, although it was on track to have its worst monthly and quarterly drops since March 2020. (In Bengaluru, Sumita Layek reported; Aditya Soni edited) Continue reading
