Gold falls as robust US jobs report boosts rate outlook
Spot gold prices fell 2.4 percent to 4,365.93 dollars per ounce after U.S. nonfarm payrolls increased by 172,000 in May, exceeding market expectations. The strong labor data reinforced projections that the Federal Reserve will maintain higher interest rates to combat persistent inflation.
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Gold prices plunged 2.4% to $4,365.93 on Friday after stronger-than-expected United States labor data fueled expectations of prolonged high interest rates. The metal fell to its lowest level since March 26, marking a 3.8% decline for the week. Investors are reassessing bullion's appeal as rising Treasury yields increase the opportunity cost of holding non-yielding assets.
