(Kitco News) – Gold remained softer despite Labor Department data Thursday showed that initial weekly U.S. jobless claims rose by 12,000 to a seasonally adjusted 214,000 in the week to Saturday.
Consensus expectations compiled by various news organizations had called for initial claims to be around 215,000 to 216,000. The government revised the prior week’s tally to 202,000 from the previously reported 201,000.
As of 8:– a.m. EDT, Spot gold was trading down by $4.30 for the day to $1,189.80 an ounce. Four minutes ahead of reports on jobless claims, orders for durable goods and revised gross domestic product, the metal was at $1,192.70. Gold came into the New York trading session with a softer tone due to a stronger U.S. dollar, analysts said.
A softer report on employment might normally help gold since it could mean less future U.S. monetary tightening. However, the report was released at the same time the government reported a 4.5% rise in durable-goods orders during August.
The four-week moving average for new jobless claims – often viewed as a more reliable measure of the labor market since it smoothens out week-to-week volatility – was up by 250 claims to 206,250.
Continuing jobless claims, the number of people already receiving benefits and reported with a one-week delay, increased by 16,000 to a seasonally adjusted 1,661,000 during the week ending Sept. 15, the government said.
Traders monitor jobs data closely to gauge how aggressively the U.S. Federal Open Market Committee alters monetary policy.
By Allen Sykora
For Kitco News