New York Gold Closes Up $62.10 as Oil Prices Fall, Easing Inflation Worries
CommodityMacro
New York gold futures closed higher on Tuesday, supported by a drop in oil prices that eased inflation concerns and reduced the likelihood of a Federal Reserve rate hike. Gold futures on the COMEX for December delivery rose $62.10, or 1.52%, to settle at $4,152.60 per ounce. WTI crude oil prices fell more than 5% to a three-week low after a Qatari foreign ministry spokesperson confirmed that talks between the United States and Iran are ongoing, and the US Treasury Secretary indicated that an agreement to open the Strait of Hormuz could be reached on Tuesday or Wednesday. The CME Group FedWatch Tool showed that investors now see only a 56.9% chance of a Fed rate hike in September, down from 67.2% previously. Investors are watching Friday's nonfarm payrolls data, with analysts expecting an increase of 88,000 jobs in July and the unemployment rate to hold steady at 4.2%.
