NEW YORK: Gold was on course to fall for a fourth straight week on Friday, hurt by the dollar’s ascent and as bets for steep interest rate hikes gained traction after healthy US jobs data. Spot gold was up 0.1 per cent at $1,741.94 per ounce by 2:49 p.m. ET (1849 GMT).

Bullion has lost about 3.7pc so far this week, which would be its worst since mid-May. US gold futures settled up 0.2pc at $1,742.30.

Lately, gold has failed to attract safe-haven flows despite growing recessions risks as investors have instead opted for the dollar, which has marched to fresh two-decade highs.

“The jobs data pushed down gold, already struggling after such a strong dollar rally. However, there is some bargain hunting coming through in gold here,” said RJO Futures senior market strategist Bob Haberkorn.

US job growth was more than expected in June and the unemployment rate remained near pre-pandemic lows, signalling persistent labour market strength that gives the Federal Reserve ammunition to deliver another 75-basis-point rate increase later this month.

Published in Dawn, July 9th, 2022