Gold prices spike as dollar drops on disappointing U.S. jobs report

Gold prices spiked on Friday after the U.S. August jobs report disappointed investors and quashed expectations for many that Federal Reserve will announce plans to taper stimulus programs this month.

Stimulus programs such as the Fed's USD85 billion in monthly asset purchases weaken the dollar to spur recovery, which makes gold an attractive hedge.

On the Comex division of the New York Mercantile Exchange, gold futures for December delivery traded at USD1,386.80 during U.S. afternoon hours, up 1.01%.

Gold prices hit a session low of USD1,361.80 a troy ounce and high of USD1,392.70 a troy ounce.

Gold futures were likely to find support at USD1,361.80 a troy ounce, the earlier low, and resistance at USD1,416.30, Tuesday's high.

The December contract settled down 1.22% at USD1,373.00 a troy ounce on Thursday.

The U.S. economy added 169,000 jobs in August, according to the Bureau of Labor Statistics, less than market calls for a 180,000 increase.

July 's figure was revised down to 104,000 from 162,000, while June's figure was revised down to 172,000 from 188,000.

The private sector added 152,000 jobs in August, well beneath expectations for a 180,000 rise. 

The U.S. unemployment rate fell to 7.3% in August, from 7.4% in July, as more people left the workforce. Analysts were expecting the unemployment rate to remain unchanged last month.

The data fueled sentiments that the Federal Reserve may hold off announcing plans to begin winding down its USD85 billion in monthly bond purchases at its Sept. 17-18 policy meeting.

Monetary stimulus tools weaken the greenback to spur recovery by driving down interest rates, which sends gold rising as the yellow metal and the greenback tend to trade inversely with one another. 

Elsewhere on the Comex, silver for December delivery was up 2.61% at USD23.862 a troy ounce, while copper for December delivery was up 0.49% and trading at USD3.260 a pound.

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Crude prices jump on Syria concerns, weak U.S. jobs report bolsters

Crude oil futures spiked on Friday after the U.S. and Russia sparred over Syria, while a soft U.S. jobs report bolstered the commodity by rekindling expectations for the Federal Reserve to continue stimulating the economy via asset purchases, which are bullish for crude.

On the New York Mercantile Exchange, light sweet crude futures for delivery in October traded at USD110.38 a barrel during U.S. trading, up 1.85%. 

The October contract settled down 1.08% at USD104.76 a barrel on Thursday.

The commodity hit a session low of USD108.13 and a high of USD110.34.

The U.S. earlier continued to press its case for military strikes against Syria for its alleged use of chemical weapons, though Russian countered on Friday that it would stand by its ally Damascus in the event of an attack from the West.

While not a major producer of crude, Syria is an ally of oil-rich Iran as well as Russia, and fears persist a U.S. military strike could engulf the entire Middle East and even beyond and threaten global supply.

Elsewhere, U.S. Labor Department reported earlier that the economy added 169,000 jobs in August, less than market calls for a 180,000 increase.

July 's figure was revised down to 104,000 from 162,000, while June's figure was revised down to 172,000 from 188,000.

The private sector added 152,000 jobs in August, well beneath expectations for a 180,000 rise 

The U.S. unemployment rate fell to 7.3% in August, from 7.4% in July, as more people left the workforce. Analysts were expecting the unemployment rate to remain unchanged last month.

The data fueled sentiments that the Federal Reserve may hold off announcing plans to begin winding down its USD85 billion in monthly bond purchases at its Sept. 17-18 policy meeting.

Such stimulus tools weaken the greenback to spur recovery, which in turn bolster oil prices by making the commodity an attractive buy in dollar-denominated exchanges. 

On the ICE Futures Exchange, Brent oil futures for October delivery were up 0.78% at USD116.16 a barrel, up USD5.78 from its U.S. counterpart.

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Forex Trading Signal for 6th September 2013

                                                                                


Japan (Tokyo)                               United Kingdon (London)                        USA (New York)

For more easy access,,,,,,Download our mobile application on your mobile :   Click Fxsignals 

EUR/USD

 Down Trend :

 (1) SELL

E/P: 1.31455

T/P: 1.31000

S/L: 1.32000

GBP/USD

Down Trend:

(1) SELL

E/P: 1.56050

T/P: 1.55500

S/L: 1.56500

NOTE: The above posted Signals are delayed 2 - 4 hours after it has been  generated.
Daily forex signals are sent ontime to only our subcribers.

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Forex - EUR/USD gains as soft U.S. jobs report sparks dollar selloff

The dollar slumped against the euro on Friday after the U.S. August jobs report disappointed investors and clouded expectations for a Federal Reserve start date to begin tapering the pace of its asset purchases.

In U.S. trading on Friday, EUR/USD was up 0.35% at 1.31671, up from a session low of 1.3105 and off from a high of 1.3189.

The pair was likely to find support at 1.3068, the low from July 16, and resistance at 1.3223, Thursday's high.

The U.S. economy added 169,000 jobs in August, according to the Bureau of Labor Statistics, less than market calls for a 180,000 increase.

July 's figure was revised down to 104,000 from 162,000, while June's figure was revised down to 172,000 from 188,000.

The private sector added 152,000 jobs in August, well beneath expectations for a 180,000 rise 

The U.S. unemployment rate fell to 7.3% in August, from 7.4% in July, as more people left the workforce. Analysts were expecting the unemployment rate to remain unchanged last month.

Soft German data, however, capped the euro's gains.

Germany reported that industrial production in Europe's largest economy contracted by 1.7% in July, well beyond expectations for a 0.5% fall after a downwardly revised 2% increase in June. 

A separate report revealed that Germany's trade surplus narrowed unexpectedly to EUR14.5 billion in July from an upwardly revised June surplus of EUR15.8 billion. Analysts were expecting the trade surplus to expand to EUR16.1 billion in July.

Elsewhere, the euro was up against the pound and down against the yen, with EUR/GBP trading up 0.07% at 0.8422 and EUR/JPY trading down 0.78% at 130.32.

Official data released earlier revealed that U.K. manufacturing production rose 0.2% in July,  missing expectations for a 0.3% rise after an upwardly revised 2% increase the previous month. 

A separate report showed that the U.K. trade deficit widened to GBP9.85 billion in July, from a downwardly revised GBP8.17 billion deficit the previous month. Analysts had expected the trade deficit to narrow to GBP8.15 billion in July.

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