Gold Price Lifted By Downbeat US Jobs Report

New York (Apr 6)   Gold prices are modestly higher in early U.S. trading Friday, boosted by a weaker-than-expected U.S. employment report. June Comex gold futures were last up $4.30 an ounce at $1,332.70. May Comex silver was last up $0.03 at $16.39 an ounce.

The just-released U.S. employment situation report for March from the Labor Department showed the key non-farm payrolls number up 103,000, which was a big miss to the downside. The jobs number was forecast to come in at up 178,000. Wednesday’s ADP jobs number came in much higher than expected, at up 241,000, which had hinted this morning’s job number would come in hot.

The U.S. dollar index weakened on the jobs report, which also is working in favor of the precious metals bulls on this day.

World stock markets were mostly lower overnight. U.S. stock indexes are also pointed toward lower openings when the New York day session begins. The marketplace is again rattled at least a bit as U.S. President Donald Trump said late Thursday he might impose another $100 billion in tariffs on China’s imports. Meantime, China’s news outlets are already saying China will fight the U.S. on trade matters to the bitter end. Trump has already slapped $50 billion in tariffs on China’s products. In the near term, look for more market volatility coming from this situation. Such should be a positive for the gold and silver markets.

Other U.S. economic data due for release Friday includes the consumer installment credit report.

KitcoNews