- The dollar weakened following the US labor market data.
- Metals advance strongly.
- XAU / USD is unaffected by rising Treasury yields.
The Gold climbed from levels below $ 1,815 to $ 1,829, the highest level in four weeks, after knowing the August labor market figures for the United States. Then the XAU / US cut gains and remained volatile around $ 1,820, heading for the highest daily close since late July.
The employment data was below expectations showing an increase in non-farm payrolls of 235,000, lower than the 750,000 of the market consensus. Initially, the dollar fell sharply on all fronts, although later it managed to regain some of the lost ground.
The Gold’s advance slowed below key resistance around the $ 1,833 area, where are the July and August highs. A limiting factor for the rise in gold and, at the same time, the fall in the dollar, is the fact that yields on Treasury bonds soared, even despite the data below expectations.
The yield on the 10-year bonds went from 1.27% to 1.33%, the highest level in three days. At the same time, stocks on Wall Street got off on the negative foot. The main indices are falling on average 0.28%.
Technical levels
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