Gold flat as investors await direction from US jobs data

Gold flat as investors await direction from US jobs data
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BENGALURU (Aug 4): Gold prices were flat in early Asian trade on Wednesday, with investors awaiting signals from U.S. jobs data on the labour market recovery that could influence the Federal Reserve's tapering plans.

Spot gold was flat at $1,809.21 per ounce by 0114 GMT, while U.S. gold futures fell 0.1% to $1,812.50.

The labour market will take time to heal from the effects of the pandemic and more needs to be done for the U.S. economy to get fully back on track, Fed Governor Michelle Bowman said on Tuesday. San Francisco Fed President Mary Daly echoed similar views.

The ADP jobs data due later in the day could set the stage for the much awaited Friday's U.S. non-farm payroll numbers.

New orders for U.S.-made goods increased more than expected in June, while business spending on equipment was solid, pointing to sustained strength in manufacturing even as spending is shifting away from goods to services.

High-frequency data indicate U.S. hiring slowed in July with particular softness among states that ended federal unemployment benefits and areas where the COVID-19 Delta variant is raging.

The dollar index was slightly higher at 92.086.

SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.2% to 1,027.97 tonnes on Tuesday from 1,029.71 tonnes on Monday.

Silver fell 0.2% to $25.50 per ounce, while platinum eased 0.4% to $1,045.42.

Palladium was flat at $2,647.96 per ounce, having hit a one-week high of $2,707.28 in the previous session.