Gold Drops 3.5% to $4,319, Erasing 2026 Gains as US Jobs Data Revives Fed Hike Bets
Updated
Updated · Bloomberg · Jun 5
Gold Drops 3.5% to $4,319, Erasing 2026 Gains as US Jobs Data Revives Fed Hike Bets
3 articles · Updated · Bloomberg · Jun 5
Summary
Gold slid as much as 3.5% to $4,319.19 an ounce, wiping out its gains for 2026 after the latest US jobs report beat all forecasts in May.
That stronger labor data pushed bond yields and the dollar higher, reinforcing expectations that the Federal Reserve could still raise interest rates this year.
Higher rates typically weigh on non-yielding bullion, adding pressure even as Middle East tensions keep energy prices elevated.
The move shows macro policy expectations overpowering gold's haven appeal, at least for now, despite persistent geopolitical risks.