Gold price reaches Rs93,900 per 10gm

ISLAMABAD: Gold futures ended the week higher after the US Labour Department reported that the country created 559,000 new jobs in May, missing Wall Street estimates and suggesting the Federal Reserve may maintain its easy-money policies for longer. Gold in the international market closed the week at $1,893 an ounce after gaining $21.20 an ounce in its value as compared to its closing value on Thursday last. Meanwhile, the price of 10 grams of yellow metal in Pakistan went down to Rs93,900, as the international market closes late due to difference in timing between local and international markets. According to experts, with the consensus expecting an upside blow-out jobs number, gold was set up for a fall, as it had proven to be susceptible to good economic news or anything that would encourage the Fed to tighten its ultra-accommodative monetary policies. Instead, the number was disappointing when measured against expectations, and the metal rebounded in response, they said. Consensus estimates were for a gain last month of up to 671,000 jobs, based on a poll of economists. The unemployment rate was expected to dip to 5.9 percent from 6.1 percent. The unemployment rate, meanwhile, slipped in May to a pandemic low of 5.8 percent from 6.1 percent. Gold has also shown recently that it once again reacts positively to higher price inflation, so the latest jobs data are very bullish for the metal beyond Friday’s reaction, they opined.