PRECIOUS-Gold eases as strong US jobs data dims Fed rate‑cut hopes

Gold prices ticked lower on Thursday, after unexpectedly strong U.S. jobs data for January tempered expectations of more near-term interest rate ‌cuts by the Federal Reserve. Spot gold edged 0.3% lower to $5,062.83 per ounce by 1159 GMT. U.S. gold futures for April delivery fell 0.3% to $5,084.30 per ounce.

Spot silver was down 0.6% at $83.52 per ounce, after Wednesday's 4% climb. "Gold ‌eased back from above $5,100 and silver from above $86 after stronger-than-expected U.S. jobs data tempered expectations of ‌imminent Fed rate cuts, lifting the dollar," said Ole Hansen, head of commodity strategy at Saxo Bank.

Fed policymakers are likely

to keep interest rates on hold for longer after data on Wednesday showed the U.S. job market began 2026 on a stronger footing ⁠than ​expected. Lower interest rates reduce ⁠the opportunity cost of holding non-yielding gold.

The United States added

130,000 jobs in January after a downwardly revised 48,000 rise in December, while ⁠the unemployment rate fell to 4.3%. Economists polled by Reuters had forecast payrolls advancing by 70,000 jobs. "The renewed focus on ​incoming economic data suggests a degree of normalisation following the recent volatility spike, while the upcoming ⁠Lunar New Year holiday in China may further dampen risk appetite and liquidity," Hansen added.

Investors are waiting for the weekly U.S. ⁠jobless ​claims report later in the day and inflation data on Friday for more cues on the Fed's monetary policy path. "I think the CPI (inflation) print on Friday will be key. If we get a ⁠softer CPI print coupled with the jobs report data, that could keep gold from advancing much further ⁠and could see gold ⁠make a foray back below the $5000/oz mark," said Zain Vawda, analyst at MarketPulse by OANDA.

Meanwhile, spot platinum shed 1.3% to $2,104.90 per ounce, while palladium was up ‌0.7% at $1,711.12.