COMEX Dec gold rallies $10 after payroll data

摘要

COMEX gold and silver futures rallied back from nan early selloff Friday that occurred prior to the nrelease of September US non-farm payroll data. nBut the employment data painted a mixed picture, nand while gold and silver made sizeable gains, nthey failed to completely regain the ground lost nin Thursday’s selloff. Gold for December delivery, nthe active month, settled $10.30/oz higher at n$1,345.30/oz after rebounding from a selloff to nthe $1,325 level. After rebounding, prices had ndifficulty breaking above $1,345 and retreated nbefore staging another rally in late morning. Silver nfor December followed gold and settled $0.521oz higher at $23.105/oz after rallying off the $22.400-22.600 level in early European nand US trading. For the week, December ngold gained $27.50/oz while December nsilver gained $1.045/oz. Both metals sold noff in Asian and European trading ahead nof the US non-farm employment numbers nfor September. The data showed that while n95,000 jobs were lost, most of those were nin the public sector, while 64,000 jobs were nadded in the private sector. The US dollar ninitially retreated to the mid $1.39 level in nEuropean trading but strengthened to the nupper $1.38 level before giving back some nof its gains. But some analysts have begun nto questions about whether gold will contin-nue to advance in the medium term, though nthe long-term outlook remains positive, they nsaid. “In the medium term, we have been nworking with the assumption that the world nwould be more liquidity-constrained than nwhat we saw in the boom years and that nwould see the gold price fall,” analysts at nAustralian investment bank Macquarie said. n“While we retain this as our base case, the ncurrent topical issue of further quantitative neasing and competitive currency devalua-ntions could provide a more bullish outlook nfrom the current price levels.”