Gold Prices Jump After Disappointing Job Data
Gold prices bounced back on Friday as doubt still persists on whether the Federal Reserve will be inclined to pullback economic stimulating measures from September following the release of weaker-than-expected non-farms payrolls data. Silver also clocked sharp gains.
At last check, gold futures for December delivery jumped 1.09% to $1,388.00 an ounce while spot gold gained 1.50% to $1,387.55 an ounce.
Silver futures climbed 2.58% to $23.86 an ounce.
The SPDR Gold Trust (ETF) (NYSE: GLD) was last up 1.42% to $134.08
The metal’s safe haven appeal also burnished after Russia’s President Vladimir Putin said to news reporters gathered at G20 Summit that Moscow will continue to supply arms to Syria even if U.S. decides to attack. The White House, meanwhile, confirmed the meeting but refused to comment over the matter.
Separately Obama said that he will address the nation and convince why he wants to punish Assad’s regime. Obama also said that lack of action will send wrong signals to rogue nations.
Earlier today, the Labor Department said that 169,000 new payrolls were added in August, missing economists’ expectation of 180,000 new job creations, according to a Reuters’ poll. The job figures for June and July were downwardly slashed by combined 74,000.
Meanwhile, the U.S. dollar turned broadly lower against major currencies after slightly disappointing job data release.
Commenting over U.S. dollar’s sharp fall, Kiran Kowshik, currency strategist, BNP Paribas, New York, said, “Although the unemployment rate was lower, there were negative revisions of 74,000 and that has pushed both U.S. yields and the dollar lower,” according to Reuters.
Kowshik said that BNP Paribas now anticipates the tapering process will start from December.
More Posts by this author
The Timken Company To Spin-Off Business
Stocks End Almost Flat As Concerns Over Syria Still Linger
Gold Prices Jump After Disappointing Job Data
Stocks Pare Deep Losses to Turn Moderately Higher By Mid-Day Trade
Forex Market Update: Dollar Broadly Lower After Weak Jobs Data
Stocks Edge Higher in Early Trade
Gold, Silver Prices Slip Before Non-Farm Payrolls Data
 |
Post Written By: Ed Liston
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht. |
