LONDON (SHARECAST) - China’s decision to grow its market for gold and safe haven buying after poor US jobs data had the yellow metal up again Thursday.
The December contract rose $3.40 to $1,199.30 an ounce in New York trade, although it did top $1,200 earlier in the session.
Earlier this week, China said more commercial banks will be allowed to import and export gold and trade at the Shanghai Gold Exchange. That’s prompted an increase in physical buying.
Traders also have one eye on India’s upcoming wedding season, which usually fuels demand for jewellery.
Meanwhile, news that US first-time jobless claimshad risen 19,000 to 479,000 last week, a four-month high, sparked safe haven buying. Economists had expected a fall.
Oil prices dropped in US trade after equity marketshit reverse.
Crude for September delivery fell 56 cents to $82.01 a barrel, partly due to the weak jobs data that reignited demand concerns.
There was also some switching from the font-month September contract to oil for October and December delivery.
