NEW YORK / RankWire.AI / – Gold experienced a rise of over 1% on Thursday, marking a rebound from its lowest point in nearly a month. The spot price increased 1.1% to $4,434.70 an ounce by 04:25 GMT. Meanwhile, U.S. gold futures jumped 1.5% to $4,480.10. The U.S. dollar weakened and Treasury yields retreated from recent multi-year highs, contributing to the rally. These gains followed a volatile trading session that saw bullion dip to its lowest price since August 7.
Gold’s price plummeted sharply during early Wednesday trading but later reversed course. Initially, spot gold declined 0.6% to $4,304.01 an ounce at 00:17 GMT. During that same period, December U.S. gold futures also fell 1% to $4,350.80. However, the price recovered later in the day, reaching $4,376.41 by 17:57 GMT. The December futures closed Wednesday 0.4% higher at $4,414.60, signifying a strong turnaround from earlier losses.
Thursday saw continued weakness in the dollar, while U.S. Treasury yields declined from their recent peaks. These movements supported the renewed increase in gold prices across global markets. Traders are currently pricing in a 62% chance of a U.S. interest rate hike this month. The Federal Reserve is scheduled to hold its next policy meeting on September 15 and 16. Additionally, U.S. private payrolls saw modest growth in August, adding another piece of the labor-market puzzle ahead of Friday’s comprehensive employment report.
Gold rebounds from August lows
The U.S. Bureau of Labor Statistics is set to release the August Employment Situation report on Friday, September 4, at 8:30 a.m. Eastern Time. This report covers nonfarm payroll employment, unemployment rates, and other vital labor-market indicators. It follows a week marked by significant movements in bonds, currencies, and precious metals, with several key U.S. economic data releases. Producer price data for August will be published on September 10, followed by consumer price figures on September 11.
Other precious metals also experienced gains on Thursday after yesterday’s declines. Spot silver increased 1.2% to $66.08 an ounce. Platinum rose 1% to $1,777.79, and palladium gained 0.8% to $1,356.50. The previous day, silver fell to $63.60 during early trading, platinum dropped to $1,722.23, and palladium declined to $1,292.21 amid widespread selling in the market for precious metals.
Precious metals turn around after previous losses
On Thursday, spot gold closed at a price $130.69 higher than Wednesday’s intraday low of $4,304.01, representing roughly a 3% increase from the lowest point in the two-day span. U.S. gold futures followed a similar trend, moving from $4,350.80 during Wednesday’s selloff to $4,480.10 on Thursday. This shift pushed gold prices above $4,400 after briefly reaching their lowest level in over three weeks.
These recent moves in the gold market precede multiple upcoming U.S. economic reports scheduled for September. The employment report on Friday will deliver the government’s primary assessment of August payrolls and unemployment. Producer prices are due on September 10, with consumer inflation data set for September 11. The Federal Reserve’s two-day policy meeting will take place from September 15 to September 16. Gold managed to stay above Wednesday’s low, while silver, platinum, and palladium also recovered from earlier declines.