Gold holds steady as firm dollar, yields counter easing Fed rate hike bets - CNBC

AI desk brief

Gold was steady to slightly higher as a firmer dollar and elevated U.S. Treasury yields offset softer-than-expected August inflation that cut odds of an October Fed hike. Spot gold rose 0.4% to $4,171.19/oz and December futures gained 0.4% to $4,205.10/oz, even as 10-year yields hit their highest in more than two decades and the market priced only a 28% chance of an October hike, down from 45% pre-data and 69% a week ago.

The near-term tone remains cautious: traders are watching Friday’s U.S. payrolls report, with XM’s Achilleas Georgolopoulos warning of a retest of $4,000 if jobs data surprises to the upside. HSBC trimmed its 2026/2027 gold forecasts to $4,490 and $4,825/oz, saying bullion may be nearing a bottom and that central banks could resume buying on dips, especially near or below $4,000.