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Gold price ignores another pandemic low in U.S. weekly jobless claims

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(Kitco News) - Another week, and another new pandemic low in the U.S. labor market as fewer American workers apply for first-time unemployment benefits.

Weekly jobless claims have risen less than expected in five out of the last six weeks. Thursday the U.S. Labor Department said that weekly jobless claims fell by 38,000 to 406,000, down from the previous week’s unrevised estimate of 444,000 claims.

The latest labor market data was better than expected as consensus forecasts looking for claims to rise to 427,000.

However, the latest employment data is not having much impact on the gold market. June gold futures last traded at $1,896.60 an ounce, down 0.24% on the day.

The four-week moving average for new claims – often viewed as a more reliable measure of the labor market since it flattens week-to-week volatility – fell to 504,750 down by 46,000 claims from the previous week.

“This is the lowest level for this average since March 14, 2020 when it was 225,500,” the report said.

Continuing jobless claims, which represent the number of people already receiving benefits, were at 3.642 million during the week ending May 15, down by 6,000 fr9om the previous week’s revised level.

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