Gold and silver prices rallied on Friday as the June employment situation report revealed weaker-than-expected growth in non-farm payrolls. August gold climbed $16.60 to $1,931.30, while September silver rose $0.27 to $23.14.
The highly anticipated non-farm payrolls data showed an increase of 209,000 jobs in June, falling short of the consensus forecast of 240,000. May's figures were also revised lower to 306,000 from 339,000. Despite the contraction in job growth, the unemployment rate edged lower to 3.6%, and the average hourly earnings remained unchanged at 4.4%.
The overall labor market remains robust, supported by the May JOLTS job openings report exceeding expectations, along with lower-than-anticipated continuing claims. The ADP private sector jobs estimate for June surpassed forecasts, indicating strong job growth.
However, the weaker non-farm payrolls reading has led to a decline in the likelihood of a November interest rate hike by the Federal Reserve. The report suggests a more cautious approach by the Fed in July, following recent hawkish comments and the release of FOMC minutes.
Here's a look at some stories in the gold space from this week: