Gold slips to about $4,133 as US stocks rise and dollar eases on soft jobs print

Gold prices fell and the dollar eased on Friday, 2 October, as softer US employment data lifted equities and cut near-term Federal Reserve hike odds, even as Treasury yields finished higher after reversing early declines, Reuters reported.

Gold and FX

Spot gold dropped 1.08% to $4,132.65 an ounce. The euro rose 0.12% to $1.1255 and the dollar weakened 0.2% versus the yen to 157.76, Reuters said. Lower oil prices after talks on diesel and crude stock releases added to risk appetite in equities.

Wall Street closes

The Dow rose 168.55 points, or 0.34%, to 51,097.30; the S&P 500 rose 52.03 points, or 0.68%, to 7,718.26; and the Nasdaq Composite rose 306.18 points, or 1.14%, to 27,177.77. MSCI’s global equities gauge rose 0.49%. Traders saw roughly a 21% chance of a 25-basis-point Fed hike in October, down from about 26% before the payrolls report, according to LSEG figures cited by Reuters.

Yields still elevated

US 10-year yields were last up about 2.2 basis points at 5.256% and 2-year yields up about 3.4 basis points at 4.821% after initially falling on the data. Investors noted the Fed could still raise rates again over the next six to nine months after September’s first hike since 2023, Reuters reported.