(RTTNews) – Gold edged lower on Tuesday after rising over the previous two days. Spot gold dipped 0.2 percent to $5,049.77 an ounce while U.S. gold futures were down 0.1 percent at $5,075.36.
The downside was capped by a weaker dollar after reports emerged that China has advised its banks to reduce U.S. Treasury exposure.
The U.S. dollar index was subdued for the third consecutive session and U.S. Treasury yields fell as investors braced for key U.S. economic data for direction.
Ahead of retail sales, inflation and delayed payrolls data due this week, White House economic adviser Kevin Hassett said on Monday that lower U.S. jobs numbers can be expected in the months ahead as the Trump administration’s immigration policies slow labor force growth and new AI tools boost productivity.
Reports on U.S. retail sales and import and export prices are due later in the day ahead of Wednesday’s delayed January employment report and Friday’s consumer price inflation report.
The jobs report is expected to show employment rose by 70,000 jobs in January after an increase of 50,000 jobs in December. The unemployment rate is seen holding at 4.4 percent.
With Jerome Powell nearing the end of his term and Kevin Warsh widely expected to take over as Fed Chair, the upcoming labor market and inflation reports may influence dollar movement and rate expectations.
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