FUNDAMENTALS
* Spot gold held its ground at $4,207.56 per ounce, as of 0104 GMT.
* U.S. gold futures for December delivery were up 0.1% at $4,237.50 per ounce.
* U.S. private payrolls fell by 32,000 jobs in November, Wednesday’s ADP employment report showed, missing economists’ expectations for a 10,000-job increase.
* CME’s FedWatch tool now shows an 89% chance that the U.S. central bank will cut rates next week, while major brokerages also forecast an interest rate cut at the December 9-10 policy meeting.
* Investors are still waiting on the delayed September Personal Consumption Expenditures (PCE) Index, the Fed’s preferred inflation gauge, due on Friday for more insight into the central bank’s monetary policy path.
* The dollar hit a five-week low on Thursday, after weaker-than-expected economic data cemented expectations that the Fed will cut interest rates at its meeting next week.
* Lower interest rates tend to favor non-yielding assets such as gold.
* Meanwhile, U.S. President Donald Trump said he plans to announce his pick to replace Jerome Powell as Fed chair early next year.
* SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, said its holdings fell 0.16% to 1,046.58 metric tons on Wednesday, from 1,048.29 tons on Tuesday.
* Elsewhere, silver fell 0.2% to $58.39 per ounce, platinum lost 0.8% to $1,657.70, while palladium slid 0.9% to $1,446.50.
DATA/EVENTS (GMT)
0930 UK S&P GLOBAL PMI: MSC COMPOSITE – OUTPUT Nov
1330 US Initial Jobless Clm 29 Nov.
