The price of gold increased in the world market. More citizens are employed in the United States than expected. As a result, the price of the dollar has fallen in the international currency market. Naturally, the price of gold has increased in the world market. Earlier, the value of the US currency rose to the highest level in 20 years. It also causes the price of the precious metal to fall. This information was reported in a CNBC report citing the news agency Reuters.
It said that the price of gold rose by 1 percent on Friday (September 2). Earlier, the price of the precious metal fell for three consecutive weeks. The bullion market is under pressure as the United States central bank, the Federal Reserve (Fed), has hinted at raising interest rates to control inflation.
On that day, the international benchmark gold price rose by 0.9 percent in the spot market. An ounce sold for $1,711 at 1,438 cents. But overall, the price of the precious metal fell by 1.5 percent on the week.
On the other hand, US benchmark gold supply rose 0.8 percent. Sold above $1723 per ounce.
Jim Weckoff, senior analyst at Kitco Metals, said the U.S. employment was higher than forecast. That discourages the Fed from raising interest rates more. This has increased the price of gold. But it will be short term.
300,000 people were expected to lose jobs in the US in August. There were 3 lakh 15 thousand people.
The dollar index remained mixed against the European Union’s euro, Japanese yen, Canadian dollar, British pound, Swedish krona and Swiss franc.
The last dollar was down 0.07 percent. The index of major international currencies stood at 109.61. But despite this, the dollar price has risen by 0.6 percent this week.