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Gold price holding $1,800 an ounce as U.S. weekly jobless claims rise by 51K

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(Kitco News) - The gold market continues to hold important support above $1,800 an ounce but continues to see little movement to disappointing economic data as more Americans than expected apply for first-time unemployment.

For the third consecutive week, U.S. weekly jobless claims jumped more than expected. Thursday the U.S. Labor Department said that weekly jobless claims rose by 51,000 to 413,000, up from the previous week’s unrevised estimate of 368,000 claims.

According to consensus forecasts, economists were expecting to see a new pandemic low with 350,000 claims.

The latest employment data is not having much impact on the gold market. August gold futures last traded at $1,804 an ounce, relatively unchanged 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 – rose to 385,250 up by 750 claims from the previous week.

Continuing jobless claims, which represent the number of people already receiving benefits, were at 3.236 million during the week ending July 10 down by 29,000 from the previous week’s revised level.

“This is the lowest level for insured unemployment since March 21, 2020 when it was 3,094,000,” the report said.

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