Gold price today, August 5: Strong increase as the market expects the Fed to cut interest rates

Giá vàng hôm nay, 5-8: Bật tăng mạnh khi thị trường kỳ vọng Fed giảm lãi suất - Ảnh 1. — Today, the price of gold in the world market is rising.

Around 6 AM this morning (Vietnam time), the price of gold on the international market reached $3,374 per ounce, an increase of $22 compared to the lowest point in last night's trading session ($3,352 per ounce). The price of gold for December delivery also recorded an impressive increase, reaching $3,422 per ounce, up nearly $23.

Gold prices surged today.

Today's surge in gold prices is supported by optimism that the Fed will ease monetary policy amid signs of weakening US economic data. The July jobs report, released last weekend, showed a significant slowdown in hiring. This has fueled speculation that the Fed will cut interest rates at its Federal Open Market Committee (FOMC) meeting in September.

In addition, President Donald Trump's move to fire the head of the monthly jobs report last weekend, following a disappointing jobs report, further increased the uncertainty.

Trump also announced he would soon appoint a new head for the Fed and a new employment data analyst for the Bureau of Labor Statistics (BLS), sparking much speculation about the future direction of economic policy.

Surprises from stocks and crude oil

Although gold prices rose sharply today, the upward momentum was somewhat restrained by the recovery of the stock market. The strong increase in US stock prices directly competed with and reduced the upward pressure on gold prices. Meanwhile, the slight decline in the US dollar created favorable conditions for gold prices to rise today.

In the energy market, crude oil futures prices fell to $66.75 per barrel after OPEC+ decided to increase production. The yield on 10-year US Treasury bonds is currently hovering around 4.25%, also contributing to the trend in the gold market.

In Vietnam, at the end of August 4th, the selling price of SJC gold was 123.3 million VND/ounce, while the price of gold rings was 118.8 million VND/ounce.