Critical Development in Gold Prices and Expectation of US Employment Data
Following Thursday's strong rally of over 2 percent, gold started the final trading day of the week with a cautious course.
Gold prices made a cautious start to the final trading day of the week following the strong surge of over 2 percent recorded on Thursday. Markets focused on the US August non-farm payrolls report to be released at 15:30.
Cautious Course in Gold Prices
While spot gold traded around 4,480 dollars in the morning hours, gram gold maintained its course in the 6,900 lira band. The surge of over 2 percent experienced on Thursday enabled the recovery of losses from the first part of the week.
Statements by Christopher Waller
Federal Reserve Board Governor Christopher Waller stated that if the slowdown in inflation continues, the current interest rate level could be maintained. He stated that in the event of inflation accelerating again, a rate hike could come to the agenda.
US Employment Report Expectations
The most important agenda item for the markets today will be the US August non-farm payrolls report to be released at 15:30 Turkey time. Expectations are that employment will increase by approximately 55-58 thousand people and the unemployment rate will remain at 4.1 percent.
Technical Levels and Resistances
The most important short-term psychological resistance for spot gold is at the 4,500 dollar level. In the event of sustaining permanence above this level, the 4,580-4,600 dollar band could come to the agenda again.
Upcoming Inflation Data
The Producer Price Index for August in the US will be released on September 10, and the Consumer Price Index on September 11. Consumer inflation will be closely monitored ahead of the Fed meeting on September 15-16.