Gold Prices Remain Above $5000 as Investors Await U.S. Economic Data
Gold prices, despite a slight decline today, continue to hold steady above $5000per ounce. Investors are exercising caution as they await critical U.S. data on jobs and inflation, which could significantly impact future interest rate decisions.
In the latest spot trading, gold decreased by 0.7% to $5029.49per ounce, following a 2% increase yesterday, which was bolstered by a drop in the dollar to its lowest level in over a week.
Notably, the precious metal reached a historic peak of $5594.82per ounce on January 29, according to Reuters.
Meanwhile, U.S. futures contracts for April fell by 0.5% to $5052per ounce.
In contrast, silver saw a decline in spot transactions, dropping by 2.1% to $81.64 after a nearly 7% rise in the previous session. Silver also reached its all-time high of $121.64 on January 29.
Ilia Spivak, head of macroeconomics at Tasty Live, commented, "The ongoing economic rivalry between the United States and China is expected to persist for years, providing a favorable outlook for gold prices."
Additionally, White House economic advisor Kevin Hassett noted that job growth in the U.S. may decelerate in the coming months due to sluggish workforce growth and increasing productivity, factors that could influence the Federal Reserve's policy decisions.
Market expectations suggest at least two interest rate cuts of 25 basis points in 2026, with the first cut anticipated in June, a scenario that typically supports gold prices, which do not yield interest.
This week, investors are closely monitoring upcoming economic indicators, including December retail sales, the consumer price index, and the January non-farm payroll report.
As for other metals, platinum fell by 2.1% to $2084.09per ounce, while palladium decreased by 1.7% to $1710.75.
