Kuala lumpur: The gold futures contract on Bursa Malaysia Derivatives closed firmer today, supported by growing market confidence over potential interest rate cuts by the US Federal Reserve.

According to BERNAMA News Agency, SPI Asset Management managing partner Stephen Innes said the shift in expectations followed weaker-than-expected US jobs data from Automatic Data Processing Inc (ADP), with only 33,000 jobs added in June. This development has reinforced expectations of two US rate cuts this year, consequently putting pressure on the US dollar.

Stephen Innes explained that the weakened US dollar has provided a supportive backdrop for gold, although gains remain capped for now due to a still stronger risk appetite in US equities. The spot-month July 2025 contract rose to US$3,364.20 per troy ounce from US$3,352.80. Similarly, the August 2025 contract increased to US$3,379.70 from US$3,368.10, and the September 2025 climbed to US$3,394.60 per troy ounce from US$3,383.00.

Furthermore, the October and December 2025 contracts both surged to US$3,413.40 from Wednesday’s US$3,402.20. Trading volume rose to 40 lots compared to 23 lots previously, while open interest increased to 65 contracts from 45 contracts.

Physical gold was priced at US$3,335.70 per troy ounce according to the London Bullion Market Association’s afternoon fix on July 2, 2025.