Global gold prices surged to test the $4,500 level after Federal Reserve Governor Christopher Waller signaled support for holding interest rates at the September meeting. As a result, gold prices closed up $81.68, or 1.86%, at $4,472.97, while the current price stands at $4,477.27. MTS GOLD of Maethong Suk Gold Shop noted that gold rallied to test $4,500 after Waller backed a rate hold, causing the FedWatch tool to lower the probability of a rate hike from 63.2% to 50.4%. Meanwhile, the 10-year bond yield fell to 4.732%, and the dollar index weakened to 98.8. On the domestic front, the Gold Traders Association announced the first gold price adjustment of the day, raising prices by 650 baht, but the second adjustment cut prices by 50 baht, bringing the selling price of gold bars to 69,750 baht and gold ornaments to 70,550 baht. Meanwhile, the SPDR fund sold 3.14 tonnes of gold, leaving its holdings at 1,053.48 tonnes. Market participants are now awaiting the non-farm payrolls and CPI data next week.
10-year yield fell to 4.732% as Fed rate hold expectations increased.
Fed signals rate hold, lowering hike probability, which typically pressures short-term rates.
Gold surged toward $4,500 after Fed's Waller backed rate hold, weakening dollar and lowering yields.
