(Kitco News) - Gold prices rose closer to session highs following the release of worse-than-expected labor market data after the number of Americans filing new claims for unemployment benefits was above economists’ forecasts.
Initial claims for state unemployment benefits came in at seasonally adjusted 226,000 for the week ending August 2, the Labor Department announced on Thursday. The number was higher than expectations, as consensus estimates forecasted a reading of 220,000 claims. The previous week’s figure was revised up to 219,000.
Spot gold rose higher following the 8:30 am EDT data, and last traded at $3,385.86 per ounce for a gain of 0.49% on the session.
Meanwhile, 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 – came in at 220,750 against expectations for a 222,000 reading, and following the previous week's revised average of 221,250.
Continuing jobless claims, which represent the number of people already receiving benefits, were at 1.974 million during the week ending July 26, higher than the expected 1.947 million reading and the previous week’s downwardly revised 1.936 million level.
