Gold nears two-week high as expectations of a US interest rate hike recede
July 6 (Reuters) - Gold prices held steady near a two-week high on Monday after a weaker-than-expected U.S. jobs report last week slightly eased expectations of a Federal Reserve interest rate hike.
Gold prices were steady in spot trading at $4,175.02 per ounce by 00:28 GMT, after posting weekly gains of more than 2% on Friday, following four consecutive weeks of declines. U.S. gold futures for August delivery rose 1.5% to $4,186.80 per ounce.
* Data released on Thursday showed a sharp slowdown in US job growth during June, and job growth figures for the previous two months were revised downwards, indicating a slowing labor market and prompting financial markets to lower their expectations for an interest rate hike by the Federal Reserve in the near term.
* According to CME's Fidwatch tool, traders now see a probability of an interest rate hike in September at around 55 percent, down from over 60 percent before the data was released.
* Gold, which does not generate income, usually thrives when interest rates are low.
Later this week, investors will turn their attention to the minutes of the Federal Reserve meeting held on June 16 and 17, the first meeting of Federal Reserve Chairman Kevin Warsh.
* As for other precious metals, silver continued its gains in spot trading for the fifth consecutive session, rising 0.1 percent to $62.4773 an ounce, after earlier hitting its highest level since June 23.
Platinum rose 0.4 percent to $1,645.05 an ounce in spot trading, while palladium gained 0.1 percent to $1,275.18 an ounce. Both metals are on track for their fourth consecutive daily gain.
