Gold News: Positive Jobs Report Boosts Dollar

Gold News

In the latest gold news: As of March 12 at approximately 9:09am EST, gold was trading at $1318.40 per ounce, staying fairly stagnant since last week. At approximately this time last week, gold was trading at $1318.94 per ounce.

gold news

Following a volatile yet narrowly bound week, gold has opened the market this week at a lower point. Gold had previously received a boost in prices after the news that a top economic advisor in President Trump’s administration had resigned, leading to fear of a trade war and lowering the price of the dollar. However, this Monday, gold prices slipped due to a report that jobs in the U.S. economy reached a higher number than expected for the month of February. The job report on Friday has eased investors recurring concerns over an accelerating inflation rate in the American economy and worries about faster U.S. interest-rate hikes. This was also combined with overall stock-market gains and overall global risk-taking. As it is well known, gold prices are likely to slip when the dollar is empowered. In particular for gold, the jobs report showed the U.S. Non-Farm Payrolls (NFP) topping expectations with a print of 313K for the month of February. Furthermore, there was a strong labor force participation read, with a print of 63%. Analysts believe that this release is unlikely to alter Federal Reserve expectations of 3 rate-hikes this year, however.

Gold has been struggling to hold on to gains in the month of March and it seems that this week we are experiencing more similarities in terms of a fight against remaining within the bounded low range gold has been occupying. This has occurred following the dip in prices earlier this month where gold tested the critical support of $1300. Moving forward, there is not much certainty as to the price of gold. While investors believe gold will be up overall over the year, and may perhaps even result in surprisingly positive results on the whole, there are still three Federal Reserve interest rate hikes to contend with. It remains to be seen whether the short-term will yield much in terms of upside for the bullion. Although the precious metal is no longer trading in a manner as volatile as when geopolitical tensions were extremely high between America and North Korea, it is still experiencing much movement due to the uncertainty in the economy. This week on the whole looks to be one that is fairly quiet in terms of any drastic gold movement, but it remains to be seen how gold will fare in the upcoming weeks.

This sentiment has caused the bullion to remain fairly low in price for the year. In the 14-day gold prediction ending January 02, I Know First’s algorithm based on a stock prediction algorithm showed an impressive 100% accuracy rate, as seen in “Gold Forecast Based on Algorithmic Trading: Returns up to 4.53% in 14 Days.” After a fortnight, I Know First’s average percent change came out to 4.53% with GLD as the top earner, bringing in an impressive 4.53% return to investors.

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