1435 ET – Gold futures snap a 3-day winning streak, inching lower ahead of President Trump’s August 7 tariff deadline. Trump has already said Indian imports will be subject to an extra 25% tariff, on top of the 25% rate they already face. Punitive tariffs on Brazil also took effect today, lifting import taxes on some Brazilian goods to 50%. “Today’s retreat in gold prices appears to be a result of light profit-taking ahead of the impending end of the U.S. pause on reciprocal tariffs,” says Peter Cardillo of Spartan Capital. Front-month gold closed the day down 0.1% to $3,380 a troy ounce. (kirk.maltais@wsj.com)
Gold Futures Keep Near Recent Highs on Soft U.S. Economic Data
1429 GMT – Gold futures tick lower, but have recouped some ground from earlier in the session. Futures are down 0.2% at $3,428.20 a troy ounce, but keep near multi-month highs. The precious metal is up 3.1% on week following Friday’s weaker-than-expected U.S. Nonfarm Payroll data, which carried hefty downward revisions to previous months’ figures. Gold’s safe-haven demand has also been bolstered by Tuesday’s ISM Services data, which further stirred stagflation fears as prices surged and growth metrics deteriorated, Tradu.com’s Russel Shor says in a note. Now the Federal Reserve must cut interest rates and risk reigniting inflation, or hold steady and risk deepening the slowdown, he says. “Either way, gold shines,” Shor says. Lower rates typically boost non-interest bearing bullion’s appeal, while slow growth increases safe-haven demand. (joseph.hoppe@wsj.com)
Gold Futures Pull Back From Recent Highs as Risk Sentiment Grows
1009 GMT – Gold futures fall on the cautious return of risk sentiment, edging back from recent highs. Futures are down 0.6% at $3,414.0 a troy ounce, though they remain up 2.7% on week. The precious metal had rallied on growing concerns over a U.S. economic slowdown and rising interest rate cut expectations, MUFG analysts say in a note. These boosted demand for safe-havens and the attractiveness of non-interest bearing bullion. Recent U.S. data pointed to stagnation in the services sector and persistent weakness in the labor market and consumer spending, MUFG says. While gold is up nearly 30% this year on trade tensions, geopolitical uncertainty and waning confidence in the U.S. dollar, the latest breakout follows months of range-bound trading, MUFG adds. (joseph.hoppe@wsj.com)
Gold Futures Tick Lower But Keep Near Recent Highs
0739 GMT – Gold futures fall, though they keep near recent highs. Futures are down 0.3% at $3,425.1 a troy ounce, but remain 3% higher on week following Friday’s weaker-than-expected U.S. jobs report. The Nonfarm Payroll data heightened uncertainty around the Federal Reserve’s monetary-policy approach, raising market expectations of interest-rate cuts in the near term. Lower rates typically boost non-interest bearing bullion’s appeal. The precious metal has latched onto a linked dip in yields, Pepperstone’s Ahmad Assiri says in a note. Risk sentiment is fragile and highly attuned to shifting macroeconomic events, Assiri writes. This has raised gold’s safe-haven appeal. With upcoming data prints and a U.S. decision on whether to extend China’s tariff reprieve looming, the wisest investment decisions appear to be gold, defense equities and Treasurys, Assiri adds. (joseph.hoppe@wsj.com)
Gold Futures Remain in Uptrend, Chart Shows
0152 GMT — Gold futures remain in a well-established uptrend, based on the weekly chart, StoneX’s Matt Simpson says in a commentary. Since the record high posted in April, the futures’ price action has been choppy, and prices have formed a series of higher lows, the senior market analyst notes. These price movements hint at a symmetrical triangle, which could resolve with a bullish breakout in line with the dominant trend, the analyst says. However, the timing is uncertain, and a breakout isn’t yet confirmed. The triangle projects an upside target of around $3,900/oz, if successful, Simpson adds. Spot gold is little changed at $3,379.21/oz. (ronnie.harui@wsj.com)
Gold Edges Higher, Supported by Fed Rate-Cut Hopes
2340 GMT — Gold edges higher in early Asian trade, supported by hopes for Fed rate cuts that would underpin the allure of the non-interest-bearing precious metal. U.S. data released overnight showed ISM services-sector index dropped to 50.1 in July, below economists’ expectations for a 51.2 reading. Gold may stay supported by increasingly dovish monetary policy expectations, Exness’s Van Ha Trinh says in an email. Investors will probably continue to watch U.S. economic data for hints on the direction of the economy, the financial markets strategist adds. Spot gold is 0.1% higher at $3,382.62/oz. (ronnie.harui@wsj.com)
