Investing.com - Gold prices rose sharply on Thursday, climbing back toward their highest level in more than two months after minutes from the Federal Reserve's July meeting hinted at a delay in further rate hikes.
Comex gold futures gained around $11.00, or about 0.9%, to $1,293.72 a troy ounce by 3:15AM ET (0715GMT), not far from a two-month high of $1,298.10 touched late last week.
Futures traders are pricing in about a 40% chance of a rate hike by the end of the year, according to Investing.com’s Fed Rate Monitor Tool, down from roughly 50% before the Fed minutes.
The precious metal is sensitive to moves in U.S. rates, which lift the opportunity cost of holding non-yielding assets such as bullion. A gradual path to higher rates is seen as less of a threat to gold prices than a swift series of increases.
Market players will now turn their attention to data on weekly jobless claims and the Philadelphia Fed manufacturing survey at 8:30AM ET (1230GMT) to gauge the strength of the world's largest economy and how it will impact the Fed's view on monetary policy.
Elsewhere on the Comex, silver futures jumped 15.9 cents, or around 0.9%, to $17.09 a troy ounce.
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