Where Is Gold Heading After NFP? - Kakiforex.com - Financial Market Media No. 1 in the World Where Is Gold Heading After NFP? Where Is Gold Heading After NFP?

June 8, 2021

Where Is Gold Heading After NFP?

 Gold held on to gains following the weakness of the US dollar as a result of the US NFP reading that fell short of expectations.

Entering the European session, the precious metal traded at around $ 1,897 per ounce, while gold futures traded at $ 1,899 per ounce.

Slightly limited gold price movements may be depressed by a statement by U.S. Treasury Secretary Janet Yellen who said higher interest rates would be an added value for the U.S.. However, he did not recommend the Federal Reserve (Fed) to increase it.

The market is now awaiting the release of US inflation data on Thursday to serve as an indication of the next policy setting from the Federal Reserve (Fed) ahead of the policy meeting on 15 & 16 June.

US dollar trading continued to be affected by US NFP employment data readings that disappointed market expectations last Friday, causing 10 -year US bond yields to plunge to a five -week low.

The U.S. economy only added 559,000 jobs in May, compared to expectations for an increase of 671,000. However, the unemployment rate declined from 6.1% to 5.8%, indicating that the labor market was still moving in a positive direction.