Spot gold trades at $5,076/oz after U.S. weekly jobless claims tick down to 227k

Kitco Media
By Ernest Hoffman
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Spot gold trades at $5,076/oz after U.S. weekly jobless claims tick down to 227k teaser image

(Kitco News) - Gold prices were trending higher following the release of worse-than-expected labor market data after the number of Americans filing new claims for unemployment benefits was higher than economists’ forecasts.

Initial claims for state unemployment benefits came in at seasonally adjusted 227,000 for the week ending February 7, the Labor Department announced on Thursday. The number was higher than expectations, as consensus estimates forecasted a reading of 222,000 claims. The previous week’s figure was revised up to 232,000. 

Spot gold was approaching the upper edge of its recent range following the 8:30 am EST data after opening sharply lower overnight, and last traded at $5,076,47 per ounce for a loss of 0.15% on the session.

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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 219,500 following the previous week's average of 212,500, and against expectations for 214,000.

Continuing jobless claims, which represent the number of people already receiving benefits, were at 1.862 million during the week ending January 31, higher than the previous week’s revised 1.841 million level and the 1.850 million expected.

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Ernest Hoffman

Ernest Hoffman is a Crypto and Market Reporter for Kitco News. He has over 15 years of experience as a writer, editor, broadcaster and producer for media, educational and cultural organizations. Ernest began working in market news in 2007, establishing the broadcast division of CEP News in Montreal, Canada, where he developed the fastest web-based audio news service in the world and produced economic news videos in partnership with MSN and the TMX. He has a Bachelor's degree Specialization in Journalism from Concordia University. You can reach Ernest at 1-514-670-1339.

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