Gold Steady on US Jobs Data
Gold was steady in quiet post-holiday trade, after mixed U.S. jobless claims data did little to change bets on the Federal Reserve’s interest rate cut prospects.
Bullion was near $2,633 an ounce, after rising 0.6% on Thursday, following a report showing initial applications for U.S. unemployment benefits rose to their highest in more than three years — suggesting it is taking longer for unemployed people to find work.
Initial claims, however, fell.
Speaking after the Fed’s final policy meeting of 2024, Chairman Jerome Powell last week reiterated that the labor market was cooling in a way that was not cause for concern. The U.S. central bank kept the number of interest rate cuts expected in 2025 in check, as Powell stressed the need to see inflation ease further.
Lower borrowing costs are usually positive for bullion, which pays no interest.
The precious metal has hit back-to-back records this year and is expected to close 2024 up about 28%.
Prices have been lifted by U.S. monetary easing, demand for safe-haven assets and central bank buying, but the recent rally has slowed after the dollar strengthened following the election of Donald Trump. Source: BloomnbergJapanese Shares Rise 0.5% | Saham Jepang Naik 0,5%
Japanese shares rose, led by gains in autos and electronics shares, as a weaker yen boosted earnings growth hopes.
Toyota Motor rose 1.0% and Renesas Electronics gained 2.0%. USD/JPY was at 157.85, compared with 157.36 at the close of trading on the Tokyo Stock Exchange on Thursday.
Investors were watching for any comments on the yen’s recent depreciation from Japanese government officials. The Nikkei Stock Average was up 0.5% at 39,753.32.
Source: Bloomberg
