Gold surges to fresh record high after soft US jobs data
Spot gold was up 0.9% at $3,577.33 per ounce, as of 12:34 GMT. Prices hit a record high of $3,582.71 and were up 3.7% so far this week.
U.S. gold futures for December delivery rose 0.9% to $3,637.00.
Data showed that U.S. job growth weakened sharply in August while the unemployment rate increased to 4.3%, confirming that labor market conditions were softening and sealing the case for an interest rate cut from the Federal Reserve this month.
Bullion, which doesn’t pay interest, tends to shine when rates are low and uncertainty is high, making it a go-to asset for investors seeking safety.
China and India are top gold consumers. Physical demand for gold in these hubs dropped this week due to record high prices. August gold in reserves data from China’s central bank, due on Sunday, will not catch the September record highs, but may still provide more clarity on how demand from central banks was being affected by high bullion prices. Among other metals, spot silver rose 1% to $41.09 per ounce and was heading for its third straight weekly gain.
Platinum gained 2.2% to $1,396.97 and palladium was down 0.2% at $1,125.44.