NEW YORK / RankWire.AI / – Gold experienced an increase of over 1% on Thursday, marking a recovery from its lowest point in nearly a month. The spot price of gold rose 1.1% to $4,434.70 per ounce by 04:25 GMT, while U.S. gold futures climbed 1.5% to $4,480.10. During this period, the U.S. dollar weakened, and Treasury yields retreated from their recent multi-year peaks. These gains followed a volatile trading session that pushed bullion to its lowest price since August 7.
Earlier on Wednesday, gold prices had plummeted sharply during the morning trading hours before reversing course later in the day. Initially, spot gold fell 0.6% to $4,304.01 an ounce at 00:17 GMT. December U.S. gold futures also declined 1% to $4,350.80 during this early selloff. However, later in the day, spot prices recovered to $4,376.41 by 17:57 GMT, and December futures closed Wednesday 0.4% higher at $4,414.60, reflecting a significant turnaround from the earlier lows.
On Thursday, the U.S. dollar continued to face downward pressure, while U.S. Treasury yields retreated from their recent peaks. These movements coincided with a renewed increase in gold prices across global markets, with traders now assigning a 62% chance of an interest rate hike by the U.S. Federal Reserve this month. The Fed’s upcoming policy meeting is scheduled for September 15 and 16. Meanwhile, U.S. private payrolls for August saw moderate growth, adding another important employment indicator ahead of Friday’s broader employment report.
Gold prices rebound 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, providing key data on nonfarm payroll employment, unemployment rates, and other vital labor indicators. This report comes amidst a week marked by significant movements across bonds, currencies, and precious metals, following several major U.S. economic data releases. The government will also publish August producer price data on September 10 and consumer price figures on September 11.
In addition to gold, other precious metals also gained during Thursday’s trading after declines in the previous session. Silver increased by 1.2% to $66.08 an ounce, platinum climbed 1% to $1,777.79, and palladium advanced 0.8% to $1,356.50. The previous day, silver had fallen to $63.60 during early trading, platinum dropped to $1,722.23, and palladium declined to $1,292.21, as selling pressure affected the entire market for precious metals.
Precious metals recover from earlier declines
Thursday’s spot gold price was $130.69 above Wednesday’s intraday low of $4,304.01, representing an approximately 3% rise from its lowest point over the two-day span. U.S. gold futures showed a similar pattern, moving from $4,350.80 during Wednesday’s selloff to $4,480.10 on Thursday. This upward shift pushed gold prices back above $4,400 after they briefly dropped to their lowest level in over three weeks.
The recent movements in gold markets come ahead of several key U.S. economic releases scheduled for September. The employment report due on Friday will offer the government’s primary insight into August payrolls and unemployment figures. Producer price data will be published on September 10, with consumer inflation data following on September 11. The Federal Reserve’s two-day policy meeting from September 15 to 16 is also on the horizon. Meanwhile, gold closed Thursday above Wednesday’s low, with silver, platinum, and palladium also recovering from earlier declines.