Gold prices are currently experiencing modest buying momentum, trading near session highs as the U.S. economy created only 12,000 jobs in October, significantly below the expected 100,000. This disappointing jobs report has led December gold futures to rise to $2,769 an ounce, reflecting an increase of 0.72%. The unemployment rate remained unchanged at 4.1%, while average hourly earnings increased by 0.4%, surpassing the anticipated 0.3% growth. Over the past year, wages have risen by 4.0%. Notably, revisions to previous months' data revealed that August's job figures were revised down to 78,000 from 159,000, and September's were adjusted to 223,000 from 254,000, resulting in a total of 112,000 fewer jobs combined. Economists suggest that the job data may be skewed due to hurricanes affecting Southern states, which could have impacted employment numbers.
In early September, gold prices were under pressure due to a lack of safe-haven bids and the strength of the U.S. dollar, with December futures noted at $2,500.60. However, the recent job data has shifted market sentiment, as the weak employment figures may alleviate recession fears and support gold's appeal as a safe-haven asset. The market is closely monitoring upcoming economic indicators, including JOLTS job openings and ISM Services PMI, which are expected to further influence gold prices. Technical analysis previously indicated a potential double bottom pattern for gold, with key resistance identified at $2,500.00 and support at $2,472. The current dynamics suggest that the geopolitical tensions and rising government debt continue to enhance gold's status as a safe-haven investment. [57825f76] [7aec7093] [d01d780e] [86a2bba1] [408c4f2e]