Gold rises in price on the US labor market data

On Thursday in US trading, gold futures rose as investors assess the reports on the US labor market in search of clues to the next rate hike by the Federal Reserve.

Earlier, US Department of Labor said the number of initial applications for unemployment benefits for the week ending May 28 fell by 1,000 to 267,000 from the 268,000 recorded in the previous week. Analysts had expected growth in the number of initial applications for 2000 to 270,000 last week.

The report came after the ADP reported that the level of employment in the US private sector increased from a seasonally adjusted 173,000 last month, slightly less than the expected increase of 175,000, but more than 166,000 in April.

Market participants are also preparing for Friday's data on US non-farm employment in the sector. The consensus forecast suggests job growth last month at 162,000 after rising 160,000 in April, while the unemployment rate is projected to rise by 0.2% after rising 0.3% the previous month.

Reliable performance can improve the chances of raising interest rates in the US as early as next Fed policy meeting on June 14-15. According service FedWatch group CME (NASDAQ: CME), currently probability rate increase in June estimated at 21%, and in July and September - 58% and 66% respectively.

As of 12:39 GMT, or 8:39 ET, on the Comex division of the New York Mercantile Exchange, gold futures for delivery in June ?? rose $ 2.75, or 0.23%, to $ 1217.45. Day of gold earlier fell to $ 2.80, or 0.23%, as investors reacted to the mostly upbeat US data on production and sales of cars.

This year, gold futures rose nearly 15%, but the precious metal is under pressure after the release of the Fed's April meeting protocol, efforts expectations of growth rates this summer.

The precious metal is sensitive to the rate increase in the US because its growth deprives investors of income from investments in gold bullion.

In addition, during morning trading in New York Comex silver futures for delivery in July ?? rose 5.3 cents, or 0.33%, to trade at $ 15.97 per troy ounce, while both copper futures fell 0.8 cents, or 0.39% to $ 2.065 per pound.