(Kitco News) – Weaker-than-expected labor market data is not helping the gold market find bullish traction.
On Thursday, the US Department of Labor said weekly jobless claims rose 37,000 to 412,000, up from the previous week’s unrevised estimate of 375,000 claims.
The latest labor market data was worse than expected as consensus forecasts looked for an increase in claims to 360,000.
However, the latest employment data is not having much of an impact on the gold market. August gold futures traded for the last time at $ 1,783.6 an ounce, down more than 4% on the day. The gold market lost ground on Wednesday after the Federal Reserve’s economic projections showed the central bank was considering two interest rate hikes by 2023.
The four-week moving average for new claims – often seen as a more reliable measure of the labor market because it flattens week-to-week volatility – fell to 395,000, down 8,000 from to the previous week.
“This is the lowest level for this average since March 14, 2020, when it was 225,500,” the report said.
Continuing unemployment claims, which represent the number of people already receiving benefits, stood at 3.518 million in the week ending June 5, an increase of 1,000 from the revised level of the previous week.
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