(Kitco News) - The gold market is struggling below $4,100 an ounce and could see further selling pressure as the U.S. labor market remains relatively healthy, with the number of American workers applying for unemployment benefits dropping more than expected.
Initial claims for state unemployment benefits came in at a seasonally adjusted 194,000 for the week ending October 17, the Labor Department announced Thursday. The number was below expectations, as consensus estimates had forecast a steady reading of 200,000 claims. The previous week’s figure was revised up to 200,000.
Jobless claims have fallen to their lowest level since late July.
Spot gold has been on the back foot through most of the European session, and while prices have recovered from their session lows, the market continues to face significant selling pressure. Gold last traded at $4,076 an ounce, down 1.5% on the day.

