Reporters reported that Gold futures rebounded to nearly $1,720 today. The positive factor of the depreciation of the dollar. and the fall in US government bond yields.
At 20:43 Thai time, the COMEX (Commodity Exchange) gold contract will be introduced in December. Add $15.50 or 0.91% to $1,717.50/oz.
A weakening dollar will increase the attractiveness of gold. by making gold contracts cheaper for holders of other currencies The fall in US government bond yields. It will reduce the opportunity cost of holding gold. Because gold is an asset that does not return in the form of interest.
Meanwhile, investors eased concerns about faster Federal Reserve interest rate hikes after the US manufacturing index was the lowest in more than two years.
The Institute for Supply Management (ISM) said its manufacturing index fell to 50.9 in September, the lowest level in more than two years since May 2020. It was below analysts’ forecast of 52.3 from 52.8 in August.
The manufacturing index was affected by shrinking new orders. This was the third contraction this year, while employment contracted for the fourth time Investors are eyeing the release of September nonfarm payrolls on Friday.