Gold rose on Friday as expectations for further interest rate cuts from the Federal Reserve and lingering concerns over the U.S. economic outlook amid a prolonged government shutdown buoyed demand.
Spot gold was up 0.8% at $4,010.72 U.S. per ounce, early Friday morning. U.S. gold futures for December delivery gained 0.7% to $4,019.50 per ounce.
The U.S. economy shed jobs in October amid losses in the government and retail sectors, while cost-cutting measures and the adoption of artificial intelligence by businesses led to a surge in announced layoffs, data showed on Thursday.
Experts say a weak jobs market typically makes rate cuts more likely.
Market participants now see a 67% chance of a Fed rate cut in December, up from close to 60% before the report. The Fed cut interest rates last week and Chair Jerome Powell suggested it might be the last reduction in borrowing costs for the year.
Related Stories
