Gold Shines Brighter, Investors Smile Happy - - Financial Market Media No. 1 in the World Gold Shines Brighter, Investors Smile Happy Gold Shines Brighter, Investors Smile Happy

May 10, 2021

Gold Shines Brighter, Investors Smile Happy

 Gold rallied higher after weaker -than -expected U.S. NFP jobs data pushed the U.S. dollar to a ten -week low, boosting the attractiveness of the yellow metal.

The NFP report showed jobs rose 266,000 in April, well off market expectations for a 978,000 increase. In fact, the revised March reading was 770,000 from 916,000, indicating a shortage of labor supply.

This suggests that the labor market needs time to fully recover from the Covid-19 pandemic crisis and the Federal Reserve (Fed) needs time to consider re-tightening monetary policy.

In addition, this weak reading has also strengthened the outlook for fiscal spending. President Joe Biden said on Friday that an infrastructure and support bill for larger families is needed because of slow job growth in April.

With the launch of a larger stimulus package by the government, gold has a chance to rise higher.

In the Asian session, gold traded stronger around a three -month high of $ 1,830 an ounce, declining slightly after surging to $ 1,843 on Friday.

Meanwhile, the 10 -year US treasury yield rose to around 1.59% after plunging lower to 1.48% last week.