Gold Falls to Multi-Month Low After Disappointing US Jobs Report

Gold futures fell on Friday, reversing earlier gains following a weaker-than-expected U.S. employment report.

The Labor Department reported that just 29K jobs were created in September, below expectations, after a downwardly revised increase of 133K in August.

The cooling labor market lowered the odds of another Federal Reserve rate hike at the end of October, sending gold higher initially, but Treasury yields rose as the day wore on, pulling gold down.

Deutsche Bank metals analyst Daniel Ghali pointed out that official sector purchases are running at more than double their 2021 pace, despite multi-decade highs in bond yields pressuring gold prices.