Job’s data triggers higher prices for gold and silver
After a meteoric rise in the last few weeks, the precious metals were propelled even higher on Friday as employment figures, or rather, unemployment figures, jolted the markets. Lower wages, less hours, and lower payrolls gave further credence to the market’s expectation of QE3. Upon the release of the jobs’ data, the euro and gold both catapulted higher with the yellow metal finally ending its trading day up nearly $40.
In light of last week’s price action and participants already seemingly pricing in QE3 on Friday, the precious metals movements this week have been relatively muted. Traders are taking a breather here and are eagerly awaiting the FOMC rate decision / statement this Thursday before adding or trimming positions. Gold remains well bid above psychological support at $1,700 while overhead there is really no technical resistance until $1,790.
