Gold prices rise due to oil prices

Fuel prices have reached their lowest in four months in the global market. The impact has been largely felt on gold prices. News agency Reuters reported that the price of the precious metal has been on an upward trend.

Spot gold prices rose 1.1 percent to $4,074.65 as of 6:30 am on Thursday (July 2). The previous day, gold had risen to its highest level since June 23. At the same time, the price of US gold futures for August delivery also rose slightly to $4,087.

Reuters says that weaker-than-expected US employment data and lower oil prices have eased concerns about inflation. At the same time, investors are also waiting. This has affected gold prices.

The report said that 98,000 new jobs were created in the US private sector in June. While economists had predicted 118,000. The gold market rebounded from its lowest level in more than seven months after the lower-than-expected job creation data was released.

ABC Refinery's global head of institutional markets, Nicholas Frappel, said the market is now cautious about taking a bearish stance. Because even if prices drop, they quickly rebound.

Fed Chair Kevin Warsh said that inflation expectations and risks have eased somewhat in recent weeks. However, he reiterated that the Fed remains committed to bringing inflation down to its 2 percent target.

According to the CME FedWatch tool, market participants now consider the possibility of the Fed raising interest rates in September to be about 66 percent.

Not only gold, but other precious metals prices have also increased. Among them, the price of spot silver rose 1.5 percent to $60.03 per ounce. Platinum prices rose 2.4 percent to $1,614.80, while palladium prices rose 2.1 percent to $1,234.89.