Mumbai: Gold was firm above $1,250 an ounce on Monday after US jobs data matched expectations, while a rally in stocks curbed the metal's appeal as an investment hedge.
Fundamentals
Spot gold was trading flat at $1,252.51 an ounce ,after losing less than 0.1 per cent on Friday.
US employment returned to its pre-recession peak in May, with a solid pace of hiring that offered confirmation the economy has snapped back from a winter slump. Nonfarm payrolls increased 217,000 last month, the Labor Department said on Friday.
With no major data scheduled for Monday, markets are likely to look towards investment and consumer demand for further cues.
Hedge funds and money managers cut their bullish bets in gold futures and options in the week to June 3 to their lowest level since mid-January, according to data from the Commodity Futures Trading Commission on Friday.
South African mining minister Ngoako Ramatlhodi said on Saturday he had ‘done enough work’ in mediating between the AMCU union and the world's top three platinum firms and he believed the two sides would resolve a five-month strike in talks on Monday.
Among other precious metals, platinum and palladium gained.
