Gold Set for Weekly Drop

2026-10-02 01:04 By Jam Kaimo Samonte 1 min. read

Gold prices slipped to around $4,150 an ounce on Friday and were headed for a second consecutive weekly decline, pressured by higher oil prices amid concerns over a potential escalation in the US-Iran conflict.

The metal also faced headwinds from a stronger dollar and elevated Treasury yields as investors assessed the latest Federal Reserve commentary and awaited a key US jobs report.

Oil prices rose as the US considered deploying an additional aircraft carrier and 10,000 troops to the Middle East, raising the risk of further disruptions to regional energy supplies and renewed inflation pressures.

Meanwhile, investors looked ahead to the September US jobs report, which could influence expectations for the Fed’s policy path.

On Thursday, Fed Vice Chair Philip Jefferson said policymakers may need more time to determine whether further rate hikes are warranted.

Markets are currently pricing in roughly a 75% probability that the Fed will leave interest rates unchanged this month.



News Stream
Gold Set for Weekly Drop
Gold prices slipped to around $4,150 an ounce on Friday and were headed for a second consecutive weekly decline, pressured by higher oil prices amid concerns over a potential escalation in the US-Iran conflict. The metal also faced headwinds from a stronger dollar and elevated Treasury yields as investors assessed the latest Federal Reserve commentary and awaited a key US jobs report. Oil prices rose as the US considered deploying an additional aircraft carrier and 10,000 troops to the Middle East, raising the risk of further disruptions to regional energy supplies and renewed inflation pressures. Meanwhile, investors looked ahead to the September US jobs report, which could influence expectations for the Fed’s policy path. On Thursday, Fed Vice Chair Philip Jefferson said policymakers may need more time to determine whether further rate hikes are warranted. Markets are currently pricing in roughly a 75% probability that the Fed will leave interest rates unchanged this month.
2026-10-02
Gold Rises as Markets Reassess Fed Rate Outlook
Gold prices gained momentum on Thursday, trading around $4,175 an ounce, after softer-than-expected US inflation data eased expectations of a Federal Reserve rate hike in October, although higher Treasury yields and a stronger dollar limited gains. US inflation rose less than expected in August, while price pressures for the previous month were revised lower. The data reduced the odds of a rate hike in October, with markets pricing in less than a 40% chance, while still seeing nearly a 90% probability of an increase in December. 10-year Treasury yields climbed to their highest level since 2002, raising the opportunity cost of holding non-yielding gold, while a firmer dollar also weighed on the metal. Attention now turns to Friday’s September nonfarm payrolls report, expected to show a net gain of around 90,000 jobs, as well as comments from Fed policymakers. Meanwhile, US-Iran negotiations over reopening the Strait of Hormuz and ending the Middle East conflict remain stalled.
2026-10-01
Gold Rises on Soft US PCE Inflation Data
Gold climbed toward $4,200 an ounce on Thursday, recovering losses from the previous session as softer-than-expected US PCE inflation data reduced expectations for a Federal Reserve interest rate hike this month. The US PCE price index rose 0.3% in August, below the 0.4% forecast, while core PCE increased 0.2%, also coming in below expectations for a 0.3% gain. Markets now see roughly a 38% chance of a Federal Reserve rate hike in October, down from 51% before the PCE release. Oil prices also eased amid signs of improving energy flows from the Middle East, despite continued deadlock in US-Iran negotiations. Meanwhile, Treasury yields remained near multi-decade highs amid concerns over persistent energy-driven inflation, which could lead to tighter monetary policy. Traders continue to price in around a 97% probability of a Fed rate increase in December.
2026-10-01