Gold futures fell $1.10 as the weak dollar boosted the market.

Comex gold futures contract Introduced in February. plus $1.10 to close at $1,782.40 / oz

The price of gold rebounded today. After plunging nearly $30, it fell below $1,800 yesterday. It was weighed down by a strong dollar and a surge in US Treasury yields. Including expectations that the Federal Reserve (Fed) will continue to raise interest rates. After the United States released data indicating a strong labor market and service sector.

The Institute for Supply Management (ISM) said its service sector index rose to 56.5 in November from 54.4 in October and beat expectations of 53.1 Level 50 indicates service sector expansion.

The US Department of Labor said that non-farm payrolls rose by 263,000 in November. That beat analysts’ expectations of 200,000 jobs and average hourly wages for workers rose 5.1 percent year over year. That was higher than the 4.6% expected, and hourly wages are the main focus for the Fed when looking for signs of inflation.

Investors expect the Fed to raise interest rates beyond 5.0% in the middle of next year after releasing a strong jobs report. Although the Fed has raised interest rates by 0.75% for four consecutive times. This shows that the tightening of the Fed’s monetary policy in the past has not been able to reduce the heat in the labor market. This has led to expectations that the Fed will continue to raise interest rates next year to slow the economy and prevent an increase in inflation.

CME Group’s FedWatch Tool indicates that investors now expect the Fed to raise interest rates to a range of 5.00-5.25% in May 2023. After previously forecasting a level of 4.75-5.00%