Spot gold reclaimed the $4,500 per ounce level on Thursday morning after the U.S. Labor Department reported initial jobless claims of 225,000 for the week ending May 30, exceeding the consensus forecast of 213,000 claims. The worse-than-expected labor market data triggered gold's upward movement, with spot gold hitting a high near $4,515 at 8:00 am ET and trading at $4,500.85 per ounce for a gain of 1.49% on the daily chart. Unemployment benefit claims serve as a key indicator of labor market health, and higher-than-expected readings often support gold prices as investors assess economic conditions.
Labor Department Reports Initial Jobless Claims at 225,000
The Labor Department announced on Thursday that initial claims for state unemployment benefits came in at seasonally adjusted 225,000 for the week ending May 30. Consensus estimates had forecasted a reading of 213,000 claims. The previous week's figure was revised to 212,000 from 215,000.
Spot Gold Trades at $4,500.85 with 1.49% Daily Gain
Spot gold hit a high near $4,515 at 8:00 am ET on Thursday morning. The precious metal last traded at $4,500.85 per ounce, registering a gain of 1.49% on the daily chart.
Four-Week Moving Average and Continuing Claims Data
The four-week moving average for new claims came in at 214,750 against expectations for 208,000. This measure is often viewed as a more reliable indicator of the labor market since it flattens week-to-week volatility. Continuing jobless claims, which represent the number of people already receiving benefits, were at 1.777 million during the week ending May 23 against expectations for 1.780 million, following the previous week's revised 1.785 million level.
FAQ
What were the U.S. initial jobless claims for the week ending May 30?
The Labor Department reported initial jobless claims of 225,000 for the week ending May 30, above the consensus forecast of 213,000 claims.
How did spot gold prices react to the jobless claims data on Thursday?
Spot gold reclaimed the $4,500 per ounce level on Thursday morning, hitting a high near $4,515 at 8:00 am ET and trading at $4,500.85 per ounce for a gain of 1.49% on the daily chart.
What was the four-week moving average for new jobless claims?
The four-week moving average for new claims came in at 214,750, above expectations for 208,000, and is considered a more reliable measure of labor market trends as it reduces weekly volatility.
