Gold sheds 1% while silver sheds 3% on Friday

Prices witness mixed finish on weekly basis though

Bullion prices ended substantially lower on Friday, 07 March 2014. Gold futures closed 1% lower on Friday, suffering from their biggest one-day point and percentage loss in more than a week, after a closely-watched jobs report signaled stronger-than-expected employment trends, dulling the metal's investment appeal.

Gold for April delivery fell $13.60, or 1%, to settle at $1,338.20 an ounce on the Comex division of the New York Mercantile Exchange. The contract was trading around $1,351, near Thursday's settlement, immediately before the jobs data. For the week, prices held onto a gain of around 1.3%.

May silver sank nearly 65 cents, or 3%, to end at $20.93 an ounce following a 1.4% climb a day earlier. Prices have lost about 1.5% on a weekly basis.

Among major economic report expected at Wall Street on Friday, nonfarm payrolls added 175,000 jobs in February after adding an upwardly revised 129,000 (from 113,000) in January. The consensus expected an increase of 163,000. Private payrolls were a little lighter, up 162,000 in February after adding 145,000 in January. The consensus expected private payrolls to increase by 170,000. Over the last several weeks. The unemployment rate, meanwhile, ticked up to 6.7% from 6.6% as more people entered the labor force in search of jobs.

The U.S. trade deficit widened in January to $39.10 billion from an upwardly revised $39.00 billion (from $38.7 billion) in December. The consensus expected the trade deficit to fall to $37.30 billion. The goods deficit rose to $59.30 billion from $58.70 billion, a gain of $0.70 billion. The services surplus increased by $0.50 billion in January to $20.20 billion. Exports increased 0.6% in January to $192.50 billion. Almost all of the increase can be attributed to a $1.80 billion increase in exports of nonmonetary gold and a $0.20 billion increase in artwork sales.

Separately, consumer credit increased by $13.70 billion in January after increasing a downwardly revised $15.90 billion (from $18.80 billion) in December. The consensus expected consumer credit to increase by $11.80 billion in January.

Powered by Capital Market - Live News