Gold Hovers Above $2,000 With Record High Now in Sight
- US service gauge falls more than expected as demand moderates
- Bullion prices may test $2,200 an ounce by early 2024: UBS
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Gold edged slightly higher, hovering above $2,000 an ounce with traders assessing the Federal Reserve’s interest-rate path following weaker-than-expected economic data from the US.
The US service sector expanded in March at a much slower pace than projected on considerably softer growth in new orders and business activity. Companies added fewer jobs than forecast while wage growth slowed, underscoring labor demand that’s showing some signs of cooling. The dollar and Treasuries advanced in response as recession concerns resurfaced. That weighed on bullion as it’s priced in the greenback.