Gold prices soar, surpassing $1,860 following solid NFP data

Gold prices have extended its gains after the US Nonfarm Payrolls showed the US economy added more jobs than estimates while the rate of unemployed Americans edged lower. At the time of writing, XAU/USD trades volatile around $1,861 per ounce versus the previous closing price at 1832.49.

The US Bureau of Labor Statistics revealed that December’s Nonfarm Payrolls rose by 223K above the 200K estimates, signaling the robustness of the labor market and justifying the need for further Federal Reserve (Fed) action. In the meantime, the Unemployment Rate tumbled to 3.5%, while Average Hourly Earnings dropped to 4.6% YoY, vs. estimates of 5%.


The US Dollar Index is almost flat around 105.223, while the US 10-year Treasury bond yield is unchanged at 3.72%, a reason for Gold to continue extending its gains.