In response to significant U.S. jobs data that indicated the labor market was slowing and raised hopes for a Federal Reserve interest rate decrease in September, gold prices continued to rise on Friday, reaching their highest level in over a month. Spot gold was trading at $2,385.63, up 1.3%. Thus far this week, gold has increased by more than 2%. At $2,397.7, U.S. gold futures ended the day 1.2% higher.
According to data, non-farm payrolls in the United States increased by 206,000 jobs in June, marginally more than the 190,000 new jobs predicted by Reuters’ survey of experts. In the meantime, the predicted increase in employment for May was reduced from 272,000 to 218,000 new jobs, and the revised increase in employment for April was decreased from 165,000 to 108,000 new jobs.
Slightly above the projected 4.0%, the jobless rate increased to 4.1%. The market’s ongoing confidence in a September rate drop was mirrored in the prices of U.S. interest-rate futures, which kept the implied probability at roughly 72% in the wake of the data.
Following the jobs report, the dollar fell to a three-week low versus its competitors, which reduced the price of gold for holders of other currencies and decreased the yield on the benchmark 10-year Treasury note issued by the United States. Silver spot is expected to have its best week since May 17 after rising 2.7% to $31.25 an ounce. Palladium gained 0.2% to $1,019.75 while platinum increased 2.6% to $1,028.62 per ounce.
