Gold futures experienced an upward trend on Thursday (Jan. 4) driven by the declining value of the dollar, providing substantial support to the market. Investors remained vigilant as they awaited the release of the US non-agricultural employment figures, crucial metrics that offer insights into labor market trends and signal potential shifts in the Federal Reserve’s interest rate decisions.
Closing the session, gold futures surged by $7.20, marking a 0.35% increase to reach $2,050 per ounce. Simultaneously, silver futures saw a moderate rise of 3.00 cents or 0.13%, concluding at $23.187 per ounce. However, platinum futures witnessed a decline, dropping by $20.80 or 2.11%, to settle at $966.30 per ounce, while palladium experienced a similar downward trajectory, falling by $33.30 or 3.11%, closing at $1,037.80 per ounce.
The dollar’s value against a basket of major currencies slid by 0.07% to 102.423 overnight, contributing to the attractiveness of gold contracts priced in dollars for investors holding the currency.
Investor attention remained fixed on the imminent release of the United States’ non-agricultural employment data. Forecasts suggested an anticipated increase of 163,000 jobs in December, a slowdown following the addition of 199,000 jobs in November. Expectations also indicated a potential uptick in the unemployment rate from 3.7% to 3.8% in December.
Recent labor data unveiled by Automatic Data Processing Inc. (ADP) indicated a rise in US private sector employment, climbing by 164,000 jobs in December, marking the highest figure since August. This surpassed analysts’ expectations, which had projected an increase of 130,000 jobs, following a rise of 101,000 jobs in November.
In a separate release by the US Department of Labor, initial claims for unemployment benefits experienced a decline of 18,000, dropping to 202,000 last week. This figure stood notably lower than the anticipated 219,000, showcasing a positive trend in the labor market.
The convergence of these data points and the weakening dollar played a pivotal role in buoying gold prices, providing investors with optimism despite the market’s vigilance over potential shifts in the US employment landscape.
The Spot Market is Open
Friday, January 5, 2024
| Metals Updated at | USD Bid/Ask | Ounce Change | Low/High |
| Gold 07.15 | 2,043.30 2,044.30 | -0.50 -0.02% | 2,042.10 2,044.10 |
| Silver 07.15 | 23.00 23.10 | +0.01 +0.07% | 23.00 23.10 |
| Platinum 07.15 | 954.00 964.00 | -1.00 -0.10% | 954.00 964.00 |
| Palladium 07.10 | 1,026.00 1,066.00 | 0.00 0.00% | 1,026.00 1,066.00 |
| Rhodium 01.40 | 4,150.00 4,950.00 | 0.00 000% | 4,150.00 4,950.00 |