Gold treads sideways as markets brace for US economic data
GOLD ticked up on Wednesday, holding above the $2,300 mark, as investors positioned for a flurry of U.S. economic data to gauge the Federal Reserve's rate path, while global central banks' buying offered underlying support.

Spot gold was up 0.1% at $2,330.07 per ounce, as of 1010 GMT, after a 1% fall in the previous session. U.S. gold futures rose 0.1% to $2,350.00.

Gold prices have been rangebound just above the $2,300 level for nine sessions, after slipping from a record high of $2,449.89 hit on May 20.

The market is moving sideways owing to a lack of new marginal buyers and is currently in a wait-and-see phase, Julius Baer analyst Carsten Menke said.

U.S. economic data, including ADP employment report due at 1215 GMT, ISM services report due at 1400 GMT, and non-farm payrolls report due on Friday could influence gold prices by cementing or weakening the case for the Federal Reserve to cut rates in 2024, analysts have said.

Rates are seen easing at the Fed's September meeting. Lower interest rates decrease the opportunity cost of holding non-yielding gold.

"The economic data in the U.S. is currently not surprising strongly enough to move the gold market," Menke said.

Central bank activity continues to underpin gold's appeal, with the World Gold Council reporting increased net purchases by global central banks in April.

Physical deliveries on the Shanghai Gold Exchange have been sound, but have not been strengthening. The People's Bank of China has scaled back purchases, hinting at a potential price sensitivity from the central bank, Menke said.

Among other precious metals, spot silver rose 0.2% $29.54 per ounce, platinum was up 0.3% at $990.30 and palladium gained 0.8% to $923.02. - Reuters
Commodities,Gold,bullion,safe haven,dollar
GOLD ticked up on Wednesday, holding above the $2,300 mark, as investors positioned for a flurry of U.S. economic data to gauge the Federal Reserve's rate path, while global central banks' buying offered underlying support.