Wall Street on the sidelines in gold market as blockbuster NFP raises calls for Fed to hike 75 basis points in September

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Wall Street on the sidelines in gold market as blockbuster NFP raises calls for Fed to hike 75 basis points in September kitconews gold silver economics investing finance metals mining

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Ahead of the latest survey results, the U.S. Bureau of Labor Statistics said 528,000 jobs were created in July. The data significantly beat expectations economists were forecasting job gains of around 250,000. The report also noted a solid increase in wages. This week, 16 Wall Street analysts participated in the Kitco News gold survey. Among the participants, four analysts, or 24%, were bullish on gold in the near term. At the same time, seven analysts, or 41%, were bearish on gold. Six analysts, or 35%, cast neutral votes this week.

"U.S. jobs data means the Fed is more likely to hike another 75 [basis points] next month. Gold's shine is dimmer. A break of $1750 could see $1725, but there is a reasonable chance it sees $1700," said Marc Chandler, managing director at Bannockburn Global Forex.

 

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