Gold prices saw marginal gains on Thursday during North American trading hours, with US markets observing Independence Day and liquidity remaining sparse. Recent economic indicators from the US have heightened expectations of earlier Federal Reserve policy easing, although policymakers remain cautious and seek further confirmation of disinflation trends.
XAU/USD traded at $2,356, up 0.15% from the previous session, having reached a two-week high of $2,365 on Wednesday.
The precious metal surged over 1% on Wednesday following weaker-than-expected job reports, including an increase in Initial Jobless Claims and a decline in private hiring for June compared to May. Additionally, the ISM Services PMI indicated a contraction in business activity within the services sector.
The Federal Open Market Committee (FOMC) minutes from June’s meeting underscored that while current policy is perceived as restrictive, there is openness among policymakers to potential rate adjustments in response to economic softening.
Market attention now turns to Friday’s Nonfarm Payrolls (NFP) report, pivotal for shaping expectations as US markets remain closed for the holiday.
