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Gold hits seven-week high
['Banglamirror Desk']
Weekly Bangla Mirror |
Spot gold jumped 2.3 percent to $4,336.02 per ounce by 2:42pm EDT (1842 GMT), having risen more than 3 percent to its highest since June 17.
“The weaker-than-expected jobs data presents a scenario where the Fed is going to be less likely to raise interest rates at its next meeting,” said David Meger, director of metals trading at High Ridge Futures.
Declining energy prices and a potentially reduced likelihood of US interest rate increase portend to a weaker dollar and stronger gold prices, Meger said.
Lower interest rates make gold more attractive relative to yield-bearing assets as bullion does not generate interest.
UBS expects gold prices to climb to $5,000 per ounce in the first half of 2027, it said in a note on Friday.