Gold and U.S. stocks rise as Fed comments ease rate-hike bets

  • Gold recovered from more than three-week lows, while U.S. stocks opened higher after dovish Federal Reserve comments.
  • The Dow rose 0.47%, the S&P 500 0.26% and the Nasdaq 0.45%; the 10-year Treasury yield fell 6 basis points to about 4.74%.
  • September rate-hike odds fell to roughly 50%-52.6% as jobless claims reached 206,000 and investors awaited payrolls and inflation data.

Gold and U.S. stocks advanced Thursday after Federal Reserve Governor Christopher Waller said he would support leaving rates unchanged at the September 15-16 meeting if August data confirms continued disinflation. Gold recovered from more than three-week lows to about $4,470 an ounce in earlier trading and gained 2.9% to $4,541.20 in the latest market snapshot. The Dow rose 0.47% to 53,309.17, the S&P 500 gained 0.26% to 7,686.71 and the Nasdaq Composite advanced 0.45% to 26,336.322 at the open, revising earlier reported gains. The 10-year Treasury yield fell 6 basis points to around 4.74%, while September rate-hike odds declined to roughly 50%-52.6% from about 62%-63%. Initial jobless claims rose to 206,000, the July trade deficit widened to $88.6 billion, and investors awaited payrolls and inflation data. Oil, silver and copper also rose, European markets were mostly higher and Asian markets largely declined.

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