SINGAPORE, Sept 3 — Gold held a decline before a US government payrolls report on Friday which may offer clues on whether the economy is strong enough for an interest rate rise after private jobs data showed an increase in hiring.
Bullion for immediate delivery fell 0.1 per cent to US$1,133.23 (RM4,782) an ounce at 9:37am in Singapore, according to Bloomberg generic pricing.
The metal lost 0.6 per cent yesterday, the first decrease in four days.
US firms added more jobs in August than a month earlier, the ADP Research Institute said yesterday. Traders are focused on the nonfarm payrolls report for signals on the strength of the economy amid a global equity rout after China surprised markets by devaluing the yuan on August 11.
The Federal Reserve meets to discuss borrowing costs on September 16-17.
“If the jobs data is very strong for the US economy, it’s more likely that the Fed is going to decide to raise interest rates,” Bob Takai, chief executive officer and president of Sumitomo Corp.
Global Research, said by phone from Tokyo. The Fed will also have to consider what’s happening in China and on global financial markets, Takai said.
“It’s 50-50 in my view.”
Gold futures for December lost 0.1 per cent to US$1,132.60 on the Comex in New York. Silver for immediate delivery was little changed at US$14.6802 an ounce.
Platinum retreated 0.3 per cent to US$1,011.21 an ounce, while palladium dropped 0.5 per cent to US$581.18 an ounce. — Bloomberg
