Gold prices edged lower on Thursday as stronger equity markets in Asia and Europe reduced demand for safe-haven assets. Spot gold dipped 0.2% to $4,199 per ounce, while U.S. futures slipped 0.1%. Analysts said investors remain cautious ahead of U.S. inflation data, with Friday’s delayed PCE Index and weekly jobless claims likely to influence expectations for next week’s Federal Reserve decision.
Market sentiment has shifted toward the likelihood of a rate cut, with traders assigning an 89% probability of easing at the upcoming FOMC meeting. Recent data showing a sharp drop in U.S. private payrolls has reinforced views that economic momentum is cooling, though layoffs remain low. Lower rates typically boost non-yielding assets such as gold.
Silver retreated 1.7% to $57.5 after touching a record high a day earlier. The metal has doubled this year, driven by tight supply and expectations of increased demand from AI-related data center expansion.
