Gold price fades on upbeat US jobs report

Gold prices fell by nearly 1% on Friday as a stronger-than-expected US jobs report alleviated some economic concerns despite lingering geopolitical uncertainty from the ongoing trade war.Spot gold traded 0.8% lower at just under $3,330 an ounce as of 10:40 a.m. ET, after hitting as high as $3,375.37 earlier in the day. Gold futures also dropped 0.9% to $3,344.10 an ounce in New York.Live Gold Price Chart and Real-Time UpdatesThe decline follows new US data that showed a largely stable labour market for the month of May. Non-farm payrolls increased by 139,000 compared with the 130,000 forecast in a Reuters poll, while the unemployment rate stood in line with estimates at 4.2%.Data came in line with estimates, which is a negative for gold as the data suggests that the Fed is going to stay on hold for a little while, said Marex analyst Edward Meir.Federal Reserve policymakers are seen as waiting until September to cut rates, with just one more cut in view by December, based on trading in short-term interest-rate futures. A rate cut would bode well for gold, as it yields no interest.On trade policy front, there was little clarity after the highly anticipated call between US President Donald Trump and Chinese leader Xi Jinping on Thursday.“These are very difficult negotiations and they’re not going to be solved just on the phone. If the tariff headlines become negative, that’s bullish for gold,” Meir added.Elsewhere, silver extended its rally to hit $36.35 an ounce, setting a new 13-year high, before paring gains.Gains in silver “looks like it was driven by speculative flows seeing it way too cheap versus gold, the break above the $35/oz mark amplified the move,” said Giovanni Staunovo, UBS analyst.(With files from Reuters)Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com