Singapore January 5 2023: Gold prices ticked higher on Thursday, aided by a softer dollar, while market participants braced for U.S. jobs data that could influence the Federal Reserve's policy trajectory.
Spot gold was up 0.1% at $1,856.11 per ounce, as of 0302 GMT, after hitting a near seven-month high in the previous session. U.S. gold futures also edged 0.1% higher at $1,861.20.
The dollar index eased 0.1%, making greenback-priced bullion more attractive for overseas investors.
"Gold has had a good start to the year, helped by a weaker dollar and expectations that the Fed might slow its pace of rate hikes. Recession risks and central bank buying should also support bullion this year," said Brian Lan, managing director at Singapore-based dealer GoldSilver Central.
"If the jobs data reflects that the rate hikes have taken a toll on the economy, then dollar might weaken further and benefit gold."
Bullion is seen as a hedge against inflation and economic uncertainties, but higher interest rates tend to weigh on non-yielding gold.
In other precious metals, spot silver was flat at$23.74, while platinum gained 0.2% to $1,080.88 and palladium rose 0.3% to $1,793.38.
Related Posts
