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Gold Holds Gains After U.S. Jobless Claims Rise To 214,000

Kitco News

Editor's Note: Updating earlier story with more details from report.

(Kitco News) - Gold held overnight gains after Labor Department data Thursday showed that initial weekly U.S. jobless claims rose by 8,000 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 218,000 to 220,000. The government left the prior week’s tally unrevised at the previously reported 206,000.

As of 8:35 a.m. EDT, spot gold was trading up by $13.30 for the day to $1,255.60 an ounce. Two minutes ahead of reports on jobless claims and orders for durable goods, the metal was at $1,255.20, bolstered overnight by a weaker U.S. dollar.

Meanwhile, the four-week moving average for new claims – often viewed as a more reliable measure of the labor market since it smoothens out week-to-week volatility – was down by 2,750 claims to 222,000.

Continuing jobless claims, the number of people already receiving benefits and reported with a one-week delay, increased by 27,000 to a seasonally adjusted 1,688,000 during the week ending Dec. 8, the government said.

Traders monitor jobs data closely to gauge how aggressively the U.S. Federal Open Market Committee alters monetary policy.

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