Gold Holds Jobs-Shock Gains Amid US Labor Contraction
Gold prices maintained their gains from last week's jobs-shock rally, reaching $4,411.20 an ounce in early trade on Monday as traders bet that a September interest rate hike is off the table following Friday's unexpected contraction in US employment.
The Comex December gold contract touched its highest level since mid-June at $4,421.50 an ounce before trading 0.3% higher by midday. Spot gold rose 0.4% to $4,357.11. The jobs report has left markets treating a September hike as less likely.
Silver surged more than 2.5% to $65.075 an ounce, topping $65 for the first time in seven weeks, before easing to $64.87. Spot silver rose by a similar margin to $64.94, stretching the white metal's gain over the past week to more than 12%.
Barrick shares fell as much as 9.7% at the New York open and were still down 6.5% by midday after investors balked at the $1.95 billion settlement that folds its Fourmile discovery into the Nevada Gold Mines joint venture and clears a key obstacle to the North American listing Barrick is targeting by year-end.