GOLD PRICE SOARS DESPITE STRONG US DOLLAR AND YIELDS
- Gold price rises past $2,400 figure, brushing aside US Dollar strength and high yields.
- US Initial Jobless Claims drop, Continuing Claims hit highest level since November 2021.
- Geopolitical risks from Iran and Lebanon's potential retaliation against Israel support Gold's allure.
Gold price climbed during the North American session on Thursday after solid data from the United States (US) underpinned the Greenback. Despite that, the precious metal brushed aside the strength of the US Dollar and the rise in US yields. At the time of writing, the XAU/USD trades at $2,419, up over 1.40%.
The US Bureau of Labor Statistics (BLS) released a solid jobs report, as the number of Americans applying for unemployment benefits dipped below estimates and last week's data, a tailwind for the Greenback.
Further data showed that Continuing Claims rose to their highest level since November 2021.
The buck reacted positively, as shown by the US Dollar Index (DXY), which tracks the American currency against six other currencies. It rose by 0.10% to 103.28, while the 10-year benchmark note yield pierced the 4.0% threshold.
Bullion is set to attract investors' interest amid heightened geopolitical risks due to the latest developments in the Middle East. Although the market mood remains positive, fears lurk that retaliation from Iran and Lebanon against Israel are forthcoming.
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