Spot gold prices are trading around unchanged levels Friday ahead of important US jobs data, due later today at 1230GMT. Gold prices ended Thursday’s session $11 lower to close at $1604.68 a troy ounce as prices slipped back amid an ADP employment report that suggests today’s non-farm data may not be as negative as first perceived by the market. Although the ADP report has clearly illustrated a history to be unreliable in gauging non-farm data, gold prices fell away sharply from around $1624, a level that has been rejected by the market on previous occasions. The fears of a robust payroll figure has sent the precious metal heading back towards $1600, with prices slipping to session lows of $1602.15 a moment ago. Gold has also been pressured by some risk unwinding, seen in the market since some of the expected actions by various central banks yesterday, which has doused some of the recent risk advances. Despite the moderate correction back to the $1600 area, gold prices remain well elevated on QE3 fumes, with prices still $54 higher from pre-EU summit levels.
EasyForexNews Research Team