Gold futures plunged, erasing a weekly gain, as stronger-than-expected U.S. jobs data helped ease economic concerns that had fueled demand for the metal as a haven.
Payrolls jumped 266,000, the most since January, according to a government report Friday that topped all estimates in a Bloomberg survey calling for 180,000 jobs.
Gold has struggled to sustain recent rallies as resilient U.S. economic data and bets on progress toward a U.S.-China trade deal limit demand for the metal as a haven.That weakens the case for more cuts on U.S. borrowing costs, further damping the appeal of the non-interest bearing precious metal. Prices are down about 6% from a six-year high reached in September.
Bullion futures for February delivery fell 0.8% to $1,471.70 an ounce at 8:35 a.m. on the Comex in New York. Prices are down less than 0.1% for the week.
Source : Bloomberg