Gold Price Forecast: XAU/USD holds above $2,900 amid global uncertainty, weaker US job data

Gold price drifts higher to around $2,915 in Monday’s early Asian session. 

Global uncertainty and Trump’s tariff threats support the Gold price. 

The weaker US February job reports drag the US Dollar lower.

Gold price ( XAU/USD) attracts some buyers to around $2,915 during the early Asian session on Monday. Global uncertainty and the threat of a global trade war by US President Donald Trump provide some support to the precious metal. 

Last week, US President Donald Trump on Thursday issued an executive order exempting goods from both Canada and Mexico under a North American trade agreement, known as USMCA, two days after imposing them. However, US Commerce Secretary Howard Lutnick said late Sunday that the 25% tariffs on steel and aluminum imports, set to take effect on Wednesday, are unlikely to be postponed. The uncertainty surrounding Trump’s tariff policies is likely to boost safe-haven flows, benefiting the Gold price in the near term. 

Furthermore, the labor market in the United States (US) slowed last month. The report suggested that the Federal Reserve (Fed) remained on track to cut interest rates multiple times this year. This, in turn, weighs on the US Dollar (USD) and lifts the USD-denominated commodity price. 

Data released by the US Bureau of Labor Statistics (BLS) on Friday revealed that the US Nonfarm Payrolls (NFP) increased by 151,000 in February, followed by the 125,000 increase (revised from 143,000) reported in January. This figure came in weaker than the market expectation of 160,000.

Meanwhile, the Unemployment Rate ticked higher to 4.1% from 4.0% in January, while the annual wage inflation, as measured by the change in the Average Hourly Earnings, climbed to 4.0% from 3.9% (revised from 4.1%).