Save your cookie preferences

We use cookies to remember your site preferences, record your referrer and improve the performance of our site. For more information, see our cookie policy.

Please select an option below and 'Save' your preferences.

Save

You can update your cookie preferences at any time from the 'Cookies' link in the footer.

We use cookies (including third-party cookies such as Google) to remember your site preferences and to help us understand how visitors use our sites so we can improve them. To learn more, please see our privacy policy and our cookie policy.

To agree to our use of cookies, click 'Accept' or choose 'Options' to set your preferences by cookie type.

Options Accept

  • English
  • Deutsch
  • Español
  • Français
  • Italiano
  • Polski
  • 日本語
  • 简体中文
  • 繁體中文
  • Daily audit
  • Help
  • Contact
  • Deposit
  • Login
  • Open account
  • ABOUT US
    • About BullionVault
    • In the press
    • Reviews
    BUY/SELL BULLION
    • Live order board
    • Daily Price
    • Regular Investing
    INVESTMENT GUIDE
    • Guide to gold
    • -How to buy gold
    • -Gold investment
    • -Gold investment plan
    • -Investment insurance
    • -Compare asset performance
    • Guide to silver
    • -How to buy silver
    • Guide to platinum
    • -How to buy platinum
    GOLD NEWS
    • Gold news front page
    • -Gold price news
    • -Opinion & analysis
    • -Market fundamentals
    • -Gold/Silver Investor Index
    • -Infographics
    CHARTS
    • Gold price
    • Silver price
    • Platinum price
    • Price alerts
  • Login
  • Open account
  • BUY/SELL BULLION
  • Live order board
  • Daily Price
  • Regular Investing
  • INVESTMENT GUIDE
  • Guide to gold
    • ⤷
    • How to buy gold
    • Gold investment
    • Gold investment plan
    • Investment insurance
    • Compare asset performance
  • Guide to silver
    • ⤷
    • How to buy silver
  • Guide to platinum
    • ⤷
    • How to buy platinum
  • GOLD NEWS
  • Gold news front page
    • ⤷
    • Gold price news
    • Opinion & analysis
    • Market fundamentals
    • Gold/Silver Investor Index
    • Infographics
  • CHARTS
  • Gold price
  • Silver price
  • Platinum price
  • Price alerts
  • ABOUT US
  • About BullionVault
  • In the press
  • Reviews
  • Help
  • Contact
  • Daily audit
    • English
    • Deutsch
    • Español
    • Français
    • Italiano
    • Polski
    • 日本語
    • 简体中文
    • 繁體中文

Gold News

Live support

NEED HELP? ASK US NOW

Search form

Gold News front page

Gold Price News

Gold Prices Slip as Western Funds 'Chase It Higher', Indian Jewelry Stores 'Pin-Drop Quiet'

More...

Gold Investing In Depth

Learn about gold bullion bars

Learn about gold bullion coins (and costs)

Gold investment: Why & how?

Gold Investment Analysis

  • Latest Gold Investor Index
  • Diversification: Gold as investment insurance
  • 40-year Asset Performance Comparison Table

Gold Articles

Opinion & Analysis

Gold Price News

Investment News

Gold in History

Gold Books

Gold Investor Index

Gold Infographics

Archive

  • February 2019 (27)
  • January 2019 (33)
  • December 2018 (28)
  • November 2018 (39)
  • October 2018 (38)
More...

List of authors

Gold Prices Jump in Dollars After Weak US Jobs Data

Friday, 4/05/2013 12:48

UPDATE 14.30 GMT

Gold prices jumped by $20 an ounce immediately following the publication of monthly US jobs data, as stock markets fell along with the Dollar.

Gold then eased back slightly to record a PM London Fix price of $1568 per ounce, 1.4% up on the previous day, although spot gold prices looked set for a 2% weekly drop.

Friday's nonfarm payrolls report showed the US economy added 88,000 jobs in march, less than half what analysts forecast ahead of the report. The number of jobs added in January and February however were both revised higher from earlier estimates, while the unemployment rate fell unexpectedly to 7.6%, its lowest level in over four years.

On the currency markets, both the Pound and the Euro made against against the Dollar, with Sterling hitting six-week highs.

Friday afternoon in London saw gold in Sterling and Euro were trading broadly in line with where they were this morning, with their afternoon London Fix prices little changed from 24 hours earlier at £1023.35 and €1204.95 an ounce respectively.

Silver similarly posted gains in Dollar terms following nonfarm payrolls, climbing as high as $27.25 an ounce before easing back, while silver prices in Sterling and Euros were little-changed from where they were the previous day.

EARLIER REPORT

Gold prices climbed back towards $1556 per ounce Friday morning in London, the level that was until yesterday's falls the 2013 low, as stocks and commodities fell ahead of the release of monthly US jobs data.

Gold in Sterling climbed back above £1020 an ounce, up from a three-month low hit yesterday, while gold in Euros climbed back above €1200 an ounce, after touching its lowest level since February.

Silver briefly edged back above $28 an ounce, having fallen to eight-month lows yesterday, while longer-dated US Treasuries gained.

The latest US Employment Situation report, which includes the nonfarm payrolls figures for the number of jobs added last month as well as the latest unemployment rate, is due to be released at 08.30 Washington, D.C. time.

A day earlier, gold sank to a 10-month low in Dollar terms Thursday, briefly touching $1540 an ounce.

"The fact that gold failed to hold the intraday lows in the $1540 area is a bit of a concern for the bearish trend in the short-term," say technical analysts at Scotia Mocatta.

"There is a big support level between $1522 and $1532 which will have to be cleared before we see another large move down in gold."

The gold price will average $1730 an ounce this year, trading in a range between $1530 and $1850, according to forecasts published Thursday by metals consultancy Thomson Reuters GFMS.

GFMS added however that an improving economic backdrop "could easily entail the start of a secular bear market" in 2014. At the launch of its Gold Survey 2013 report, GFMS also noted that gold exchange traded funds saw outflows of 177 tonnes in the first three months of 2012, equivalent to 63% of the amount they added over the whole of 2012.

As of Thursday, the volume of gold backing shares in the world's biggest gold ETF, SPDR Gold Trust (ticker: GLD), was down more than 10% since the start of the year. 

Hedge fund Paulson & Co., which latest available data show held around 5% of the GLD, saw its Gold Fund fall by 27.9% in the first quarter, the Wall Street Journal reports, with the firm citing "implied volatility in the gold derivatives market". The Dollar gold price was down around 4% over the same period.

"The main driver behind gold's weakness this year has been the focus on global growth and that's meant rotation out of defensive assets like gold," says UBS analyst Joni Teves.

"There's this weak sentiment and it's been feeding on itself. Central banks continue to pursue exceptionally loose monetary policies and create a still supportive environment for gold."

"Investors are reshuffling commodity investments into equities," adds Commerzbank analyst Daniel Briesemann. 

"We find it somewhat hard to understand the current underperformance of commodities given that the market environment is characterized by at least some economic recovery. We think that the drop is exaggerated."

Police in Italy on Sunday seized gold bars worth an estimated €4.5 million after stopping a car trying to cross the border into Switzerland, according to press reports.

Friday marks the 80th anniversary of Executive Order 6102, the confiscation of privately-held gold by President Roosevelt in 1933.

Get the safest gold at the lowest prices on BullionVault...

  • Reddit logo
  • Facebook logo
  • Twitter logo
  • Google logo
  • Yahoo logo
  • LinkedIn logo
  • Digg logo
  • StumbleUpon logo
  • Technorati logo
  • del.icio.us logo

The London Gold Market Report is the daily market review from BullionVault, the world's largest physical gold and silver market for private investors. A full member of professional trade body the London Bullion Market Association, BullionVault publishes the LGMR every day that the market is open, bringing you insider comment and analysis from the very center of the world's $240 billion-a-day physical gold trade, and putting the latest gold price action into its wider financial and economic context

See full archive of the London Gold Market Report.

Please Note: All articles published here are to inform your thinking, not lead it. Only you can decide the best place for your money, and any decision you make will put your money at risk. Information or data included here may have already been overtaken by events – and must be verified elsewhere – should you choose to act on it. Please review our Terms & Conditions for accessing Gold News, RSS links are shown there.

Follow Us

Facebook Youtube Twitter LinkedIn

 

Mobile apps

 - live trading 24/7

 - buy & sell instantly

 - up-to-the-second charts

 

 

 

Daily news email
Go to 'communications settings' 

Get the latest daily gold price news free by email

Latest gold news by email

 

 

 

Gold Investor Index
5 February 2019

Gold Investor Index

Gold up, investing up!

 

 

 

CNBC TV-18
3 January 2019

CNBC TV-18

Gold jumps into New Year

 

 

 

Portfolio Adviser
19 October 2018

Vaulted large bar gold. Source: BullionVault

Beyond gold 'chatter'

 

 

 

Money Observer
6 August 2018

Bitcoin ain't gold

No, Bitcoin isn't "new" gold

 

 

 

  •  Email us

Market Fundamentals

  • Gold 'Set to Drive' Silver Price Gains in 2019
  • LBMA Gold Price Forecasts See Tight Range in 2019
  • Gold Mining M&A Now 'Easier' Than New Exploration
More...
  • Cost calculator
  • Cookies
  • Terms & conditions

©BullionVault Ltd 2005-

  • Twitter
  • Facebook
  • Google Plus
  • LinkedIn
  • YouTube