Gold prices drop amid anticipation of US job data and Trump's statements.
Gold prices witnessed a decline on Thursday, June 5, following previous gains supported by weaker-than-expected US economic data, boosting demand for the precious metal as a safe haven amidst ongoing global economic and political uncertainty.
Gold futures fell by 0.3% to $3387.5 per ounce, while spot prices dropped by the same percentage to reach $3364.79 per ounce.
A report by ADP showed that the US private sector added the fewest jobs in May in over two years, raising concerns about the labor market. Investors are awaiting the non-farm payrolls report scheduled for release on Friday for further insights.
In response to the economic data, US President Donald Trump criticized Federal Reserve Chairman Jerome Powell, calling for interest rate cuts, noting that the European Central Bank has cut rates nine times.
Other data revealed a contraction in the US services sector for the first time in about a year, with rising operating costs and increased concerns about stagflation.
The European Central Bank is set to hold its meeting today, with expectations of keeping interest rates unchanged.
Trump added further tension to trade relations with China, describing President Xi Jinping as "tough to negotiate with," ahead of an expected call between the two leaders this week.
