The unemployment rate climbed to 9.1% - Gold Price Spikes Higher

The gold price rallied Friday morning on news that the U.S. labor market continues to show very little signs of improvement. The price of gold spiked $15.00 off its morning lows, trading as high as $1,540 per ounce before settling back near $1,535 after the U.S. Labor Department announced that 54,000 non-farm payrolls were created in May. The unemployment rate climbed to 9.1%, Gold price spikes higher!

Gold prices were one of the only asset classes outside of U.S. government bonds to move higher on the news. S&P 500 stock futures sank 16.10 to 1296.30 and cyclical commodities such as oil and copper faced heavy selling as well. Oil futures slipped 1.6% to $98.81 per barrel while copper fell 0.5% to $4.06 per pound. Gold’s sister precious metal silver was notably weak, falling 2.7% to $35.22 per ounce.