XAU/USD surges 3.8% to $4,232, its highest since June 18, as the dollar weakens and US jobs data disappoints ahead of NFP.
Gold prices climbed to $4,232, a near seven-week peak, as the US Dollar Index (DXY) dipped 0.12% to 99.76 and Treasury yields stalled. The rally followed weaker-than-expected ADP employment data, which showed a drop to 44K jobs from 98K, missing forecasts of 70K.
The XAU/USD pair cleared key resistance levels, including the 50-day Simple Moving Average at $4,161, and surpassed $4,200. Market focus shifts to Friday’s Nonfarm Payrolls report, with economists expecting 80K jobs and steady unemployment at 4.2%.
Earlier data revealed mixed signals, as ISM Services PMI rose to 54.1 but missed estimates, while the employment sub-index contracted to 47.4 from 51.2.