Gold can't catch a bid following rise in U.S. weekly jobless claims
(Kitco News) - The gold market continues to struggling to attract a bid even as the U.S. labor market lost some momentum with more workers than expected filed for weekly unemployment benefits last week.
Thursday, the Labor Department said that 742,000 Americans filed for first-time U.S. jobless claims in the week to Saturday, an increase of 31,000 from the previous week's revised level. The previous week's level was revised up by 2,000 from 709,000 to 711,000.
The rise in claims significantly missed consensus forecasts; economists were expecting to see claims of around 707,000.
The four-week moving average for new claims – often viewed as a more reliable measure of the labor market since it smooths out week-to-week volatility – was 742,000, down 13,750 claims from the previous week.
Continuing jobless claims, the number of people already receiving benefits and reported with a one-week delay, fell to 6.372 million, for the week ending Nov. 7. Continuing claims dropped by 429,000 million from the previous week.
The latest labor market data is having little impact on gold prices as the market hold above critical support around $1,850 an ounce. December gold futures last traded at $1,855 an ounce, down 1% on the day.