Global gold prices have declined during these moments of trading, Monday, after sharp selling operations in the previous session due to stronger-than-expected US jobs data, as investors await the US Federal Reserve meeting this week.

Gold fell 3.5% on Friday, its biggest drop since November 2020, after a U.S. jobs report and Chinese data showing the world's largest consumer held back on gold purchases in May after 18 straight months of buying.

China's central bank said today that its gold reserves remained unchanged at the end of May, after buying just 60,000 ounces in April and 160,000 in March.

On the other hand, data released today revealed that the US economy added 272,000 jobs during May, compared to expectations that it would only reach 190,000, with the unemployment rate rising to 4% for the first time in nearly two and a half years.

The medium-term uptrend that has been clearly in place since last week could come under pressure from a technical standpoint, said Kelvin Wong, senior market analyst for Asia-Pacific at OANDA.

The jobs report again led traders to change their expectations for when the Federal Reserve will cut interest rates and by how much. The chances of a rate cut in September are now about 50%, down from about 70% late Thursday.

The Fed is not expected to make any rate changes at its policy meeting, but focus will be on comments from Fed Chairman Jerome Powell and changes in economic forecasts from policymakers. U.S. inflation data is also due on Wednesday.

The dollar hit its highest level in more than a week against its rivals, while benchmark 10-year U.S. Treasury yields rose to their highest since June 3.

Gold at settlement on Friday

Gold prices fell at the end of trading on Friday, as the dollar and bond yields rose, following the release of US employment data.

At settlement, gold futures for August delivery fell 2.75%, or $65.9, to $2,325 an ounce, erasing all of its gains for the week and recording losses of about 0.9%, after recording the highest close in 10 sessions on Thursday.

Gold and dollar now

Gold futures are now down 0.75% at $2,307 an ounce.

While spot gold contracts fell by about 0.15% to $2,290 per ounce.

On the other hand, the dollar index stabilizes at 104.890 points.

Other minerals

Spot silver rose 0.9 percent to $29.43 an ounce, platinum rose 0.8 percent to $971.10 and palladium gained 1.1 percent to $922.38.