Gold Prices Plunge After Robust US Jobs Data

The gold market faced significant selling pressure after the U.S. economy added 162,000 jobs in August, surpassing forecasts of 55,000. The unemployment rate held at 4.1%, sending spot gold nearly 2% lower to $4,385.80 per ounce. Analysts say the strong report gives the Federal Reserve room for a rate hike this month, though the CME FedWatch Tool shows only a 50/50 chance. Kyle Rodda of Capital.com highlighted that upcoming inflation data could tip the scales toward tighter policy. Revisions lifted June and July employment by a combined 55,000 jobs, while average hourly earnings rose 0.3% to $37.75, up 3.1% year-over-year.