Gold prices attempt to cross beyond $1,820 and record some gains following the previous session‘s consolidative move. The prices seem to be stabilizing now to make a consolidative move in a trading band. The yellow metal is rangebound amid continuing debate over Fed’s monetary policy. A lower USD valuation, which makes the precious metal less expansive for the other currencies holders continues to support gold prices. The softer US ADP data weighed on the greenback. The lower US benchmark Treasury yields also supported gold prices as it enhances the appeal of the non-yielding asset. Concerns over the delta coronavirus crisis reduce investor confidence and risk appetite that eventually supported corrective pullback in gold prices. Investors now turn their attention to the Nonfarm payroll data on Friday for an update on US labour market conditions.
The price of gold is trading at $1,813.88 and between a low of $1,813.33 and a high of $1,814.21.
The US dollar dropped after the ADP National Employment Report showed private payrolls rose by 374,000 in August, up from 326,000 in July but well short of the 613,000 forecasts.
There are now even more expectations for a disappointing jobs number this week which pushes back the case for a taper no sooner than December.