Background on Key Figures and Context
The precious metal, gold, experienced a 0.3% increase on Thursday morning as investors eagerly await the non-agricultural jobs data from the United States to assess the trajectory of interest rates. Meanwhile, silver’s price surpassed a crucial threshold of $35 per ounce for the first time since October 2012.
At 3:33 a.m. CDMX time, spot gold was up by 0.3% at $3,383.79 per ounce, while U.S. gold futures improved by 0.3% to $3,407.80 per ounce.
Expert Analysis
Ricardo Evangelista from ActivTrades stated, “I would say that the path of least resistance remains upwards, despite gold trading relatively flat today. This is more due to operators being on edge ahead of the non-farm payrolls report.”
The ADP national employment report on Wednesday revealed that private sector jobs in the U.S. increased much less than expected in May. President Donald Trump urged Federal Reserve Chair Jerome Powell to cut interest rates.
“I believe that a weakening in the U.S. labor market would increase bets on a more cautious Fed. It would be positive for gold if the Fed cut rates,” Evangelista added.
Gold as a Safe Haven
As a safe-haven asset during times of political and economic uncertainty, gold tends to thrive in a low-interest-rate environment.
Performance of Other Precious Metals
- Spot silver gained 1.7% to $35.55 per ounce, its highest level since February 2012.
- Platinum added 3.5% to $1,122.80 per ounce, its highest since April 2023.
- Palladium improved by 2.4% to $1,025 per ounce.
Key Questions and Answers
- Q: Who are the key figures mentioned in this article? Donald Trump, Jerome Powell
- Q: What data are investors anticipating? Non-agricultural jobs data from the United States
- Q: Why is gold considered a safe-haven asset? Gold tends to prosper in low-interest-rate environments during times of political and economic uncertainty
- Q: How have other precious metals performed? Silver reached a 13-year high, platinum hit its highest level since April 2023, and palladium improved by 2.4%
