US May nonfarm payrolls posted robust gains, reviving concern about possible Fed
rate hikes later this year and sending spot gold down more than 3% intraday.
Capital Economics economist Stephen Brown said: 'Unless the labor market
experiences a large-scale summer job-loss panic, the likelihood of the Fed
several rate hikes later in the year implementing grows.' Stalled US‑Iran talks
and renewed fighting in the Middle East have pushed oil higher and elevated
inflation worries, reinforcing market expectations that rates may remain higher
for longer.
