(Kitco News) - The gold market is seeing renewed selling pressure, with prices trading at session lows after data showed a relatively stable labor market, as the number of American workers applying for first-time unemployment benefits held steady for another week.
Initial claims for state unemployment benefits came in at a seasonally adjusted 206,000 for the week ending September 5, the Labor Department announced Thursday. The number was in line with expectations. The previous week’s figure was revised slightly higher to 207,000 claims, compared with the previously reported 206,000.
Analysts note that a stable labor market gives the Federal Reserve room to raise interest rates at next week’s monetary policy meeting. Spot gold last traded at $4,331.40 an ounce, down more than 1% on the day.
The four-week moving average for new claims—often viewed as a more reliable measure of the labor market because it smooths out week-to-week volatility—came in at 206,000, compared with the previous week’s revised average of 207,500.
The report also indicated that unemployed workers are finding new jobs. Continuing jobless claims, which represent the number of people already receiving benefits, came in at 1.774 million during the week ending August 29, roughly unchanged from the previous week.
