Gold price rally cools as market awaits more cues

Gold retreated on Wednesday following a short spike in prices triggered by expanding Middle East conflicts, as investors await more US economic cues to plot their next moves.Spot gold fell 0.4% to $2,650.57 per ounce by 12:30 p.m. ET, about $35 shy of the all-time high set in late September. US gold futures were down 0.6% at $2,672.90 per ounce.Bullion closed the previous session 1.1% on news of an Iranian missile strike against Israel, which rekindled the allure of save haven assets.“Geopolitical headlines often trigger immediate market reactions, but these tend to reverse if no significant assets are impacted,” said Charu Chanana, a strategist at Saxo Capital Markets Pte, told Bloomberg.Chanana added that gold remained an attractive hedge. “When considering how markets might react next, the key worry would be risks of an escalation, particularly if Iran’s oil assets could be targeted.”Gold has rallied almost 30% this year, hitting a series of record highs in the process. Recent gains have been fueled by anticipation for monetary easing by the Federal Reserve, which last month kicked off rate cutting cycle.Along with any further escalation of conflicts in the Middle East, traders will be looking to the latest US jobs report due Friday, which may prove to be pivotal in offering insights on the Fed’s pace of rate cuts. Swaps traders are wagering on a one-in-three chance the central bank will deliver another half-point reduction in November, according to Bloomberg.(With files from Bloomberg)Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com