Gold prices rose by 0.6% today to $4,264 per ounce, following a 0.1% decline yesterday to $4,240.
The price movement comes as the US Non-Farm Payrolls (NFP) report is scheduled for release today.
Current price of gold
Yields and Interest Rate Expectations
The US 10-year Treasury yield rose by 6 basis points to 4.68% yesterday and was at 4.69% at the start of the new day.
Market pricing reflects a 55% probability that the US Federal Reserve will increase the policy rate by 25 basis points at its next meeting, and an 85% probability of a rate hike at the October meeting.
The CME Group FedWatch Tool indicates an over 80% probability that the US Federal Reserve will raise its benchmark interest rate by 25 basis points during the remainder of 2026.
Labor Market and Global Economic Data
In the US, the number of people applying for unemployment benefits rose to 199,000 for the week ending August 1, a figure that was below market expectations.
In the Eurozone, retail sales decreased by 0.3% on a monthly basis in June, contrary to expectations, while increasing by 0.7% on an annual basis.
In Japan, household spending decreased by 3.3% in June, contrary to estimates.
China's trade balance recorded a surplus of $112.5 billion in July, with exports increasing by 23.9%.
Other market movements included a 1.6% rise in October futures Brent crude to $83.8 per barrel, while the S&P 500 index fell by 0.18%, the Nasdaq by 0.06%, and the Dow Jones by 0.85%.
