ShreeMetalPrices: Gold Prices are Keeping Steady as Weekly Jobless Claims in the United States Rise by 29K.


The number of workers who registered for benefits for the first time last week exceeded expectations, marking a significant increase from the previous week’s six-month low. The U.S. Labor Department said on Thursday that weekly unemployment claims increased by 29,000 to 219,000, from a revised estimate of 193,000 claims the previous week.

Recent job market statistics fell short of forecasts. According to consensus projections, experts anticipated that unemployment claims would increase to 205,000 at a slower rate.

After the latest labour market reports were below expectations, the gold market has continued to rise steadily. Gold futures for December were last trading at $1,726.10 per ounce, up $0.30 on the day.

The four-week moving average for new claims increased slightly to 206,500, up by 250 claims from the previous week’s corrected average.

This gauge of the labour market is frequently consider more accurate because it smooths out week-to-week volatility.

208,000 New Jobs Created as Unemployment Claims Rise.

The number of people receiving benefits who are still claiming unemployment benefits. Or continuing jobless claims, increased by 15,000 to 1.361 million during the week ending September 24.
This last week, the labour market has been exhibiting some very conflicting signs.

The private sector payroll processor ADP reported on Wednesday that 208,000 new jobs were generate in the private sector in September, slightly exceeding estimates.

The JOLTS survey of the Labor Department, however, revealed on Tuesday. That there were fewer job opportunities in August than there were in July.

The COVID-19 pandemic’s impact on the world economy in April 2020 caused the largest decline in job postings since that time.

Market attention is presently on Friday’s nonfarm payrolls figure. Consensus estimates among economists predict that 265,000 new jobs were generated in September.

Although the U.S. job market has been somewhat resilient through 2020, many economists believe. That as the Federal Reserve keeps raising interest rates aggressively. It is only a matter of time before it begins to deteriorate.

According to the Federal Reserve, in order to reduce inflation to 2%, the labour market must be cooled.

We need to put inflation behind us if we want to genuinely pave the path for another period of a really healthy labour market.

I wish there was an easy method to accomplish it, but there isn’t. Therefore, what we need to do is raise rates to a level where we are significantly reducing inflation. And that is what we are doing “Jerome Powell, the chair of the Federal Reserve, made the statement following the 75 basis point increase in interest rates last month.