On Thursday, June 4, gold prices climbed significantly, mainly due to weak U.S. economic data and a weaker dollar. Spot gold closed up $18.76, or nearly 0.6%, at $3,372.04 per ounce on Wednesday, with an intraday gain of 1%.

The U.S. "small non-farm" ADP employment report showed that the number of new private sector jobs in May was only 37,000, the lowest since March 2023, far below the expected 110,000.

The U.S. ISM non-manufacturing index for May, which was subsequently released, fell to 49.9, the lowest since June last year.

In addition, U.S. President Trump signed an executive order to increase steel and aluminum tariffs from 25% to 50%, effective June 4, escalating trade tensions.

The U.S. dollar index (DXY) closed down 0.45% at 98.82 on Wednesday. The market is awaiting initial jobless claims and non-farm payrolls for further policy clues.

Gold is seen as a safe-haven asset and generally performs well in a low-interest rate environment. This Friday, the U.S. Bureau of Labor Statistics will release non-farm employment data. The market expects 125,000 new jobs to be added and the unemployment rate to remain unchanged at 4.2%.