PRECIOUS-Gold steadies as traders await jobs data for Fed cues

Gold prices have been volatile in recent days due to uncertainty surrounding the Federal Reserve's interest rate outlook and concerns about global economic growth. On Wednesday, traders were focused on two key data releases that could provide insight into the health of the US economy: jobless claims and non-farm payrolls data.

The number of jobless claims in the US has been steadily increasing in recent weeks, indicating a weakening labor market. This has raised concerns about the ability of consumers to drive economic growth and could lead to lower demand for gold, which is often seen as a safe-haven asset.

Non-farm payrolls data, which measures the number of employees on private non-farm payrolls, is also closely watched by investors. This data can provide insight into the overall health of the US economy and could influence the Federal Reserve's decision on interest rates.

In addition to these data releases, traders were also paying close attention to minutes from the Federal Reserve's latest meeting, which showed that officials were uncertain about the outlook for interest rates. This has led to a decrease in the probability of a rate hike in the near future and has supported gold prices.

According to Reuters, gold prices have seen a 72% chance of a March rate cut now, down from a 90% chance just a week ago. This suggests that investors are becoming more cautious about the prospect of higher interest rates and are turning to gold as a safe-haven asset.

Overall, the focus on jobs data and the Federal Reserve's interest rate outlook has been a key driver of gold prices in recent days. As these factors continue to evolve, investors will likely remain closely attuned to any developments that could impact the demand for gold.