UAE: Gold prices slip as US jobs data lifts aggressive Fed rate hike bets

Spot gold was trading at $1,771.62 per ounce, down by 0.2 per cent at 9.15am

Photo: AP
Photo: AP

A Staff Reporter

Published: Mon 8 Aug 2022, 9:34 AM

Gold prices slipped on Monday morning after a solid US jobs report last week boosted the prospect of aggressive interest rate hikes by the US Federal Reserve, lifting the dollar and bond yields.

Spot gold was trading at $1,771.62 per ounce, down by 0.2 per cent at 9.15am UAE time.

In the UAE, the 24K gold price fell half a dirham per gram at the opening of the markets on the first trading day of the week.

The Dubai Gold and Jewellery Group data showed 24K trading at Dh214.75 per gram on Monday morning as against Dh215.25 at the close of the markets last week. While 22K, 21K and 18K opened at Dh201.75, Dh192.5 and Dh165.0 per gram, respectively.

Benchmark US 10-year Treasury yields hovered near their highest level in more than two weeks scaled on Friday.

US job growth unexpectedly accelerated in July, lifting the level of employment above its pre-pandemic levels and pouring cold water on fears the economy was in recession.

The Fed should consider more 75-basis-point interest rate hikes at coming meetings in order to bring inflation back down to the central bank's goal, Fed Governor Michelle Bowman said on Saturday.


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