Why Gold Rallied to Nearly $4,400 After NFP Data was Released
When U.S. nonfarm payrolls data was released indicating that the economy had unexpectedly shed 23,000 jobs, yet analysts had expected jobs to increase, gold immediately rallied to nearly $4,400. We discuss why the jobs data had such an effect on the price of precious metals and what investors need to keep in mind going forward. For starters, gold and other precious metals have come under pressure in recent months due to a number of factors, but let’s focus on Fed policy expectations for now. The Fed has held interest rates steady for the past five months but the recent pair…