Gold has posted its first weekly gain in a month as expectations for interest rate hikes ease.
Gold's spot price rose by 1.4% on July 3, putting the precious metal on track for its first weekly gain in five weeks.
Gold is currently trading at $4,179.20 U.S. an ounce, up 2.3% over the past week, its first weekly increase since the end of May.
The yellow metal has seen its price decline this year amid worries about persistent inflation, a stronger U.S. dollar, and the potential for interest rates to rise in this year's second half.
Gold posted its worst quarter in 13 years between April and June of this year. Its price is down 22% from an all-time high of just over $5,300 U.S. an ounce reached in January.
However, gold is starting to rebound as lower crude oil prices are expected to lead to a decline in inflation and take pressure off the U.S. Federal Reserve to raise interest rates.
A weak U.S. jobs report also gives the central bank leeway to leave interest rates at current levels or potentially lower rates if inflation declines sharply in coming months.
Futures traders are currently pricing in a 53% chance that the Fed raises interest rates by 25-basis points in September of this year. That's down from 65% odds a week ago.
Gold is not the only metal whose price is rising to start the third quarter. Silver's price has posted a weekly gain of 6.7%, taking its price up to $62.59 U.S. an ounce.
COMTEX_485750927/2797/2026-07-03T10:50:51