The gold price has been rising again since yesterday, with the upcoming US labor market report on Friday playing a key role in this development. Several factors are likely contributing to the price increase. Speculation about potential US interest rate cuts has intensified, and fiscal risks are coming to the forefront as the US government attempts to push its fiscal package, the “Big Beautiful Bill,” through Congress.
Experts suggest that the latest Senate version of the bill could drive US debt even higher than initially proposed. The ongoing trend concerning interest rate expectations depends on forthcoming economic data.
Gold price hinges on labor report
A robust US labor market report could hinder expectations for interest rate cuts, subsequently affecting gold prices. As the market awaits the labor report, the prospect of interest rate cuts continues to spark debate. If the report indicates a strong labor market, it may create headwinds for both interest rate cut expectations and gold prices.
For now, the details from the labor market report remain the focal point, and its release could significantly impact market movements and investor sentiment. The gold price is likely to continue fluctuating as investors closely monitor these developments and adjust their positions accordingly.
