Breaking News

Gold falls to session low after U.S. data; Non-farm jobs report in focus

CommoditiesJan 31, 2013 09:11AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items

Investing.com - Gold futures eased down during U.S. morning hours on Thursday, falling to the lowest levels of the session following the release of a flurry of U.S. economic data.

Losses were limited after the Federal Reserve kept its ultra-loose monetary policy intact at the outcome of its latest policy meeting on Wednesday.

On the Comex division of the New York Mercantile Exchange, gold futures for April delivery traded at USD1,672.15 a troy ounce during U.S. morning trade, down 0.55% on the day.

Prices fell by as much as 0.6% earlier in the day to hit a session low of USD1,671.55 a troy ounce. Gold futures rose to USD1,684.35 a troy ounce on Wednesday, the strongest level since January 24, which led to some profit-taking.

Gold prices were likely to find support at USD1,653.35 a troy ounce, the low from January 28 and near-term resistance at USD1,685.35, the high from January 24.

The Department of Labor said the number of individuals filing for initial jobless benefits last week rose by 38,000 to a seasonally adjusted 368,000, compared to expectations for an increase of 20,000 to 350,000.

A separate report showed that personal incomes in the U.S. jumped 2.6% in December, the largest increase in eight years, while personal spending rose 0.2%, below expectations for a 0.3% increase.

The data came one day after the Federal Reserve said it would continue to pursue its easing program and reiterated that it would hold interest rates close to zero until the U.S. unemployment rate falls below 6.5%.

The Fed’s quantitative easing program is viewed by many investors as a major source of liquidity that weakens the U.S. dollar and helps support prices of commodities and other hard assets, including gold.

With the Fed meeting behind them, gold traders will now turn their attention to Friday's nonfarm employment report.

Elsewhere on the Comex, silver for March delivery fell 0.85% to trade at USD31.90 a troy ounce, while copper for March delivery was flat to trade at USD3.751 a pound.

Gold falls to session low after U.S. data; Non-farm jobs report in focus

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Post also to:
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Post 1000
Please wait a minute before you try to comment again.
Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Add Chart to Comment
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
Sign up with Email