Broad-Based Market Sell-Off Triggers Gold's Steep Decline

In a tumultuous day of trading, gold futures experienced a significant downturn, mirroring the broader market sell-off that swept across various asset classes. The most active December contract for gold plummeted nearly $100 in volatile trading, opening at $2,490.30 and reaching an intraday high of $2,500.80 before succumbing to intense selling pressure.

Recent economic data reignited recession concerns. Last week's employment report revealed a significant weakening in the labor market, with the unemployment rate jumping to 4.3%, its highest level since October 2021. This unexpected surge triggered the"Sahm Rule," a recession indicator developed by former Fed economist Claudia Sahm.

Despite the day's steep decline, gold's long-term bullish outlook remains intact. Factors such as continued central bank purchases, strong investor demand, and escalating tensions in the Middle East are expected to provide ongoing support for gold prices. While gold experienced a significant correction amidst a broad market sell-off, its fundamental drivers remain strong. As economic uncertainties persist and geopolitical tensions simmer, gold's role as a safe-haven asset is likely to reassert itself, potentially leading to a recovery in prices in the near future.

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Gold, silver caught in downdraft of broad commodity market sell offThe Kitco News Team brings you the latest news, videos, analysis and opinions regarding Precious Metals, Crypto, Mining, World Markets and Global Economy.
Source: KitcoNewsNOW - 🏆 13. / 78 Read more »

Stock market today: S&P 500, Nasdaq fall from records amid tech sell-offJerome Powell steps up for part two of his policy update to Congress, with investors on the alert for more clues to rate-cut prospects.
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Stock market today: Stocks fall from records as Tesla, Nvidia lead tech sell-offJerome Powell steps up for part two of his policy update to Congress, with investors on the alert for more clues to rate-cut prospects.
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Argentina to Sell Dollars In Parallel FX Market, Caputo Says(Bloomberg) -- Argentina’s central bank will sell US dollars in the country’s parallel foreign exchange markets starting Monday, a move Economy Minister Luis...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Argentina to Sell Dollars In Parallel FX Market, Caputo SaysArgentina’s central bank will sell US dollars in the country’s parallel foreign exchange markets starting Monday, a move Economy Minister Luis Caputo called “a deepening of the monetary framework.”
Source: BNNBloomberg - 🏆 83. / 50 Read more »