Gold Price News: Gold Holds Above $2,900 on US Jobs Data

Gold prices were largely range bound on Friday, taking some support from weaker-than-expected US economic data and a softer dollar.

Prices moved in a range of $2,899 to $2,935 an ounce on Friday, little changed from the previous two days.

Gold supported by macro uncertainty, weaker US dollar

Gold managed to hold up above the $2,900 an ounce mark for most of the week, close to its all-time high of $2,958 an ounce seen on February 24th, and this reflects concerns about the wider economic picture and an ongoing heightened geopolitical risk environment.

Friday saw the release of US non-farm payrolls figures showing that the number of jobs added in February was less than the market expected, while the unemployment rate increased to 4.1% in February from 4% in January. Signs of a weaker-than-expected economy can support gold as a safe haven investment.

Moreover, the US dollar lost value against other major currencies through the week, providing a supportive element for dollar-denominated gold prices, while stock markets continued to lose ground, helping to underpin gold due to its appeal during periods of heightened risk.

ETFs see multi-year record demand from US

On market positioning, global physically-backed gold ETFs saw significant inflows in February, totalling $9.4 billion, the strongest since March 2022, according to a World Gold Council report dated March 6^th: US leads multiyear record inflows. North American demand surged in February, adding $6.8 billion, representing the strongest February ever, it said.

Upcoming data

Looking ahead, the markets will be watching out for Tuesday’s US JOLTs job openings for another update on the labour market, followed by US monthly inflation figures on Wednesday, which may help to gauge upcoming monetary policy changes by the US Fed.