Gold steadies near $4,000 as US shutdown, layoffs concerns lift demand
The post Gold steadies near $4,000 as US shutdown, layoffs concerns lift demand appeared com. Gold price advances on Thursday after reaching a daily high of $4,019, but retreats below the $4,000 mark even though the US Dollar and US Treasury yields tumbled. At the time of writing, XAU/USD trades with gains of over 0. 10% at around $3,985. Bullion steadies after brief pullback, supported by weaker Dollar, falling yields, and renewed political and trade uncertainty US Dollar weakness was the main driver that kept the yellow metal underpinned during the day, as the US government shutdown could extend further, said the Republican House Leader Mike Johnson, who added that he’s less optimistic about the shutdown ending. Markets were also shaken by the release of the Challenger report, which revealed that companies slashed over 150, 000 jobs in October, marking the biggest reduction for the month in more than 20 years. The news triggered a reprice of a rate cut by the Federal Reserve (Fed) at the December meeting. Meanwhile, the US Supreme Court is growing skeptical about US President Donald Trump’s tariffs, as reported by Bloomberg, that added, “Businesses and countries suffering from the duties and looking for resolution, though, are set for months of uncertainty.” Consequently, Bullion seems poised to resume its uptrend as it usually performs well in uncertain and low-interest-rate environments. Aside from this, Federal Reserve (Fed) officials are crossing the wires, led by Cleveland’s Fed Beth Hammack, sticking to her hawkish rhetoric. At the same time, Fed Governor Michael Barr was slightly more neutral, echoing some comments by New York Fed John Williams, who said that neutral rates would be around 1%. Daily market movers: Gold surges as US yields drop The US Dollar Index (DXY), which tracks the performance of the American currency against six other currencies, slumps 0. 42% down to 99. 73. US Treasury yields are also plunging, with the 10-year. Continue reading Gold steadies near $4,000 as US shutdown, layoffs concerns lift demand