Gold prices slipped below $4,500 per ounce on Wednesday, extending earlier-week declines after stronger-than-expected US labor market data bolstered expectations that the Federal Reserve may keep interest rates elevated for longer. Figures released on Tuesday showed US job openings in April climbed to their highest level in nearly two years, while layoffs decreased, underscoring continued labor-market strength. Investors are now turning their attention to Friday’s closely watched nonfarm payrolls report for further insight into the Fed’s future policy path.
At the same time, persistent uncertainty surrounding US-Iran peace negotiations pushed oil prices higher, stoking inflation concerns and reinforcing the case for a more restrictive Fed stance. Even so, President Donald Trump said discussions are still in progress, and reports indicate that Iranian officials are reviewing a “final text” that could be submitted to the United States as talks move forward.
