6 Mar 2015
Gold falls to two-month low on US jobs report
FXStreet (Mumbai) - Gold prices fell to USD 1180.3/Oz levels, its lowest since the first week of January, after the better-than-expected US non-farm payrolls figures for February hit the wires.
Gold: Strong USD weighs
The yellow metal declined as the US dollar extended gains across the board following another month of a stellar jobs report. The US economy added 295K jobs, beating the expectation of 235K by a wide margin. The unemployment rate dipped to 5.55 in February. Consequently, the USD index rose sharply to 97.34 levels; up 0.97% for the day.
Moreover, the markets have ignored the fall in wages and the downward revision of the January’s NFP number. The yellow metal could extend weakness as a stellar jobs report could trigger speculation of an interest rate hike in the US in June.
Gold Technical Levels
The metal has an immediate support located at 1173.3, under which losses could be extended to 1160.70. On the flip side, resistance is seen at 1190.3 and 1200.00 levels.
Gold: Strong USD weighs
The yellow metal declined as the US dollar extended gains across the board following another month of a stellar jobs report. The US economy added 295K jobs, beating the expectation of 235K by a wide margin. The unemployment rate dipped to 5.55 in February. Consequently, the USD index rose sharply to 97.34 levels; up 0.97% for the day.
Moreover, the markets have ignored the fall in wages and the downward revision of the January’s NFP number. The yellow metal could extend weakness as a stellar jobs report could trigger speculation of an interest rate hike in the US in June.
Gold Technical Levels
The metal has an immediate support located at 1173.3, under which losses could be extended to 1160.70. On the flip side, resistance is seen at 1190.3 and 1200.00 levels.