"Gold prices remained close to the level seen during the last few trading sessions ahead of this week's economic releases and amid the latest geopolitical developments. The metal has struggled to gain traction after the rapidly changing interest rate expectations. However, the probability of a December move jumped to around 71%, up from roughly 40% last week following remarks from New York Fed President John Williams, which could limit downside risks for gold."
"Investors now focus on incoming data that could reshape the Fed narrative once again. September's PPI data and this week's ADP weekly employment indicators could help clarify whether inflammationary pressures and labour-market softness would tilt the balance. While stronger-than-expected numbers could weaken the case for a cut and strengthen the dollar, weighing on gold, softer figures would likely revive dovish expectations and help the metal record some gains. On the geopolitical front, signs of progress in Eastern Europe contributed to a more positive mood."
Gold remained close to recent trading levels ahead of key economic releases and amid geopolitical developments. The metal struggled to gain traction as interest-rate expectations shifted rapidly. The probability of a December Federal Reserve move rose to about 71%, up from roughly 40% after remarks from New York Fed President John Williams, potentially limiting downside risk for gold. Investors focus on upcoming September PPI and ADP employment data on inflationary pressures and labour-market softness. Stronger data could strengthen the dollar and weigh on gold, while softer figures would revive dovish expectations and support gains. Signs of progress in Eastern Europe eased safe-haven demand, but Middle East tensions continue to underpin demand.
Read at London Business News | Londonlovesbusiness.com
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