Gold rises as dollar and Treasury yields decline

Gold prices rose today (Thursday) as the dollar and U.S. Treasury bond yields fell, while investors await U.S. non‑farm payroll data that could shape expectations for the Federal Reserve's next move.

The employment report released by the ADP firm showed that private‑sector jobs in the United States increased moderately in August.

Elia Speivak, head of Global Macro Economics at Tasty Life, said, "The payroll report is likely to be the most critical moment of the week. If it comes in below expectations and expectations for a September interest‑rate hike fall, it could lead to higher gold prices."

Gold is usually viewed as a hedge against inflation, but higher interest rates increase the opportunity cost of holding the non‑yielding metal.

On the geopolitical front, four sources said that senior advisers to former U.S. President Donald Trump are working to prevent an escalation of war with Iran before the midterm elections in November, hoping to limit Republican electoral losses.