The gold futures contract gained 0.46% on Friday following Thursday’s decline of almost 2%. The market reacted to mixed monthly jobs data release. On Monday a week ago gold reached the new local high of $1,833 before reversing lower, and on Friday it traded as low as $1,781.30. This morning it is trading slightly higher, as we can see on the daily chart (the chart includes today’s intraday data):
Gold is 0.2% higher this morning, as it is trading along the $1,800 level again. What about the other precious metals? Silver is also 0.3% higher, platinum is 0.1% higher and palladium is 1.2% higher. So the main precious metals’ prices are slightly this morning.
Friday’s U.S. Nonfarm Payrolls release has been worse than expected at +199,000 and the Unemployment Rate release has been better than expected at 3.9%. Today we will get the Wholesale Inventories release at 10:00 a.m., but the markets will be waiting for tomorrow’s ECB’s and Fed’s speeches.
Where would the price of gold go following Friday’s Nonfarm Payrolls announcement? We’ve compiled the data since September of 2018, a 40-month-long period of time that contains of forty NFP releases. The first chart shows price paths 5 days before and 10 days after the NFP release. The last three cases are marked with dashed lines. Gold gained 1.18% in December and in November it gained 1.92%.
The following chart shows the average gold price path before and after the NFP releases for the past 40 months. The market was usually advancing ahead of the release day and closing 0.26% higher on the 10th day after the NFP release.
Below you will find our Gold, Silver, and Mining Stocks economic news schedule for the next two trading days:
Monday, January 10
- 10:00 a.m. U.S. – Final Wholesale Inventories m/m
Tuesday, January 11
- 5:20 a.m. Eurozone – ECB President Lagarde Speech
- 6:00 a.m. U.S. – NFIB Small Business Index
- 9:00 a.m. U.S. – FOMC Member Mester Speech
- 10:00 a.m. U.S. – Fed Chair Powell Testimony
- Tentative, U.S. – IBD/TIPP Economic Optimism
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