Weaker U.S. jobs and inflation figures spur expectations of a September Fed pause, lifting gold prices 7% in its best week since January.
Gold surged more than 7% last week, marking its strongest performance since January, as softer-than-expected U.S. jobs and inflation data fueled speculation the Federal Reserve may halt rate hikes in September. The metal had previously hit a record $5,589 an ounce on January 28 before retreating over 18% from that peak.
Prices remain elevated above the 52-week low, supported by persistent central bank demand, particularly from China. Analysts cite concerns over loose U.S. fiscal policy and weak global growth as key drivers for sustained interest in gold as an inflation hedge.
Market focus now shifts to upcoming economic indicators that could confirm or reverse the recent rally, with traders weighing whether the rebound signals a lasting trend or another volatile swing.