30.1 C
New York
Wednesday, August 10, 2022

Gold Prices Dip as U.S. Wage Inflation Cements 2 Fed Rate Hikes

Gold Prices Dip as U.S. Wage Inflation Cements 2 Fed Rate HikesWorries over inflation push gold prices lower.

Investing.com – Gold prices headed lower on Friday as the showed that wage inflation accelerated to its fastest pace since April 2009, that the Federal Reserve will follow through on two more interest rate hikes this year.

At 10:48 AM ET (14:48 GMT), for December delivery on the Comex division of the New York Mercantile Exchange slipped $1.10, or 0.09%, to $1,203.20 a troy ounce, compared to $1,206.70 ahead of the release.

Beyond the solid creation of in August, or a holding near 18-year lows, the focus was on the 2.9% increase in .

The increase in wages is being closely monitored by the Fed for evidence of diminishing slack in the labor market and upward pressure on inflation

Although a was already fully priced in for the , odds for an additional increase in December rose to 76% compared to 70% ahead of the report.

Higher interest rates tend to weigh on demand for gold, which doesn’t bear interest, in favor of yield-bearing investments.

In other metals trading, gained 0.63% at $14.270 a troy ounce by 10:50 AM ET (14:50 GMT).

rose 1.14% to $973.10 an ounce, while sister metal traded down 1.06% at $782.50.

In base metals, advanced 0.51% to $2.650 a pound.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source: Investing.com

Related Articles

Stay Connected

11,293FansLike
12,893FollowersFollow
748FollowersFollow
- Advertisement -

Latest Articles

Popular Articles