Daily Times

Gold price spiked to over one week tops in reaction to mixed US jobs report and increased over 0.50 percent in the international market as of 13:40 GMT on Friday. Gold was available in the international market at $1787.80 per ounce with a gain of $10.10. Meanwhile, the price of 10 grams of yellow metal in Pakistan increased to Rs90,300 with a gain of Rs100. The closing price of yellow metal in the country remained Rs90,200 on Thursday. According to analysts, gold prices increased in reaction to the mixed US jobs report, albeit lacked any follow-through and remained capped below the $1,800 mark. The headline Non Farm Payrolls (NFP) in the United States smashed expectations and showed that the US economy added 850,000 new jobs in June. The big beat, however, was offset by an unexpected rise in the US unemployment rate to 5.9% from 5.8% in May. This offered a reason for the US dollar bulls to take some profits off the table, which, in turn, provided a modest lift to the dollar-denominated commodity. Meanwhile, the latest employment details seem to have dashed hopes for an earlier than anticipated policy tightening by the Fed. This was evident from a sharp fall in the US Treasury bond yields, which was seen as another factor that benefitted the non-yielding gold.