MTECHTIPS;-Gold trickles lower as dollar rebounds from multi-month

MTECHTIPS;-Gold trickles lower as dollar rebounds from multi-month lows

MTECHTIPS-Gold prices eased from an eleventh-month high on Wednesday, following a rebound in the dollar, after a duo of better-than-expected reports on private job creation and economic growth raised expectations of a rate hike later this year. Gold futures for December delivery on the Comex division of the New York Mercantile Exchange fell $5.80, or 0.44%, to $1,313.18 a troy ounce. Gold snapped a two-day winning streak as safe-haven demand fell in the wake of Donald’s Trump somewhat measured response to North Korea’s missile launch over Japan on Monday while upbeat US economic data fuelled expectations of monetary policy tightening.ADP employment data for August estimated private-sector payrolls rose by 237,000 compared a consensus estimates of 185,000. The stronger-than-expected private payrolls report, which often serves as a precursor to monthly nonfarm payrolls data slated for Friday, pointed to continued strength in the U.S. labor market, easing expectations the Federal Reserve may abandon its plan to hike rates later this year. The Commerce Department raised its estimate of second-quarter GDP growth to an annual rate of 3% from 2.6% previously, beating economists’ forecasts of 2.8%. Gold is sensitive to moves higher in both bond yields and the U.S. dollar – A stronger dollar makes gold more expensive for holders of foreign currency while a rise in U.S. rates, lift the opportunity cost of holding non-yielding assets such as bullion

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