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Gold prices rose sharply , recovering from session lows reached after U.S. data on the number of employees. Such dynamics was also due to the fact that many traders who were betting on further reduction , finally rushed to cover their positions .
Market immediately fell after data showed U.S. employers continued to add jobs at a steady pace , while the unemployment rate fell in November. These are signs of strong economic growth , which can stimulate discussion about what the Federal Reserve will announce the reduction of bond purchases this month .
The Labor Department said that the number of employees in non c / agricultural sector grew by 203,000 last month. In turn, the unemployment rate fell by three-tenths of a percentage point to 7.0% , the lowest level in the last five years. Economists forecast that employment in non-farm payrolls increased by 184,000 and the unemployment rate is at around 7.2%. Cumulative number of employees in September and October was revised to 8000 . Today's report may reinforce expectations that the Fed will soon slow down the pace of its bond purchases to $ 85 billion per month. At its meeting in October , officials said on the probable end of the program " in the coming months ."
Gold prices are now recovered some of its losses this week , but still show declines of 1.2 percent , after plummeting on Thursday as data showed that the U.S. economy grew in the third quarter, faster than previously anticipated.
As for the physical market, Indian gold award remained at record levels - $ 160 per ounce , which was reached on Thursday as the wedding season promotes demand , while supply remains low .
The cost of the December gold futures on the COMEX today dropped to $ 1236.00 per ounce.
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