Gold futures are trading higher in the early part of Monday’s Asian session as traders in the region contemplate the notion that the Federal Reserve may not move quickly to wind down quantitative easing in the wake of a slack March U.S. jobs report.
On the Comex division of the New York Mercantile Exchange, gold futures for June delivery rose 0.03% to USD1,576.35 per troy ounce in Asian trading Monday. Gold prices were likely to find support at USD1,539.85 a troy ounce, the low from April 4 and an 11-month low and resistance at USD1,604.25, the high from April 2.
The yellow metal surged 1.8% last Friday in the U.S. to settle the week at USD1,580.65 a troy ounce after traders embrace gold’s safe-haven status following the disappointing jobs number.
The U.S. Department of Labor said the world’s largest economy added 88,000 jobs last month, the smallest increase since last June and far below forecasts for an increase of 200,000. That report also showed that the unemployment rate ticked down to 7.6% from 7.7% in February, but that decline was by virtue of a plummeting rate of participation in the U.S. labor market.
The participation rate fell to 63.3%, the lowest level since 1979, indicating that some Americans are simply giving up on their job searches.
Even with the benefit of Friday’s impressive performance, New York-traded gold slid 1% on the week, but the jobs report may be just the tonic skittish gold bugs need to believe the Fed will not move hastily to end its bond-buying activities.
In recent days, there has been some chatter the central is mulling winding down quantitative easing this summer should the U.S. economy continue to improve.
Meanwhile, Comex silver for May delivery inched up 0.06% to USD27.237 per ounce while copper for May delivery gained 0.02% to USD3.346 per ounce. - investing.com
On the Comex division of the New York Mercantile Exchange, gold futures for June delivery rose 0.03% to USD1,576.35 per troy ounce in Asian trading Monday. Gold prices were likely to find support at USD1,539.85 a troy ounce, the low from April 4 and an 11-month low and resistance at USD1,604.25, the high from April 2.
The yellow metal surged 1.8% last Friday in the U.S. to settle the week at USD1,580.65 a troy ounce after traders embrace gold’s safe-haven status following the disappointing jobs number.
The U.S. Department of Labor said the world’s largest economy added 88,000 jobs last month, the smallest increase since last June and far below forecasts for an increase of 200,000. That report also showed that the unemployment rate ticked down to 7.6% from 7.7% in February, but that decline was by virtue of a plummeting rate of participation in the U.S. labor market.
The participation rate fell to 63.3%, the lowest level since 1979, indicating that some Americans are simply giving up on their job searches.
Even with the benefit of Friday’s impressive performance, New York-traded gold slid 1% on the week, but the jobs report may be just the tonic skittish gold bugs need to believe the Fed will not move hastily to end its bond-buying activities.
In recent days, there has been some chatter the central is mulling winding down quantitative easing this summer should the U.S. economy continue to improve.
Meanwhile, Comex silver for May delivery inched up 0.06% to USD27.237 per ounce while copper for May delivery gained 0.02% to USD3.346 per ounce. - investing.com
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