Gold rises

Reuters

Bengaluru

Gold edged higher on early Thursday as bargain hunters stepped in to buy after the metal hit fresh three-month lows in the previous session, ahead of Friday´s nonfarm payrolls report. Spot gold was up 0.2 percent at $1,268.60 an ounce by 0058 GMT.

Bullion touched a fresh low of $1,261.59 in the previous session, its lowest since June 24. U.S. gold futures rose 0.2 percent to $1,270.90 an ounce. U.S. services sector activity rebounded to an 11-month high in September, an encouraging sign for economic growth that may increase the prospect of a Federal Reserve interest rate hike this year.

Elsewhere, U.S. private employers added 154,000 jobs in September, below economists´ expectations, a report by a payrolls processor showed on Wednesday. The Bank of England, which signalled a few weeks ago that a fresh interest rate cut was likely next month, has been put on the spot by signs that Britain´s economy has weathered the initial shock of the Brexit vote better than expected.