Gold inched down on Monday, extending losses to a third session, on a lack of conviction the U.S. Federal Reserve would take measures to stimulate the economy anytime soon even after a disappointing jobs report.
U.S. non-farm payrolls increased by just 80,000 in June, lower than a forecast of 90,000, raising pressure on the Fed to do more to help the frail recovery.
“The market is not sure where prices should go and the sentiment is fragile,” said Lynette Tan, an analyst at Phillip Futures, adding that prices are likely to remain rangebound for the time being with investors stuck in data-watching mode.
Though June’s payrolls increase fell short of expectation, it still exceeded the May number and could be seen as a slight improvement, putting a damper on hopes for a third round of quantitative easing from the Fed, Tan added.
Source arabianbusiness
