jumped to near $1,960.00 as the US Department of Labor reported a significant jump in the initial claims by 28K to 261K for the week ending June 02 while the street was anticipating a figure of 235K.
S&P500 futures are likely to open on a cautious note, however, the market mood could turn cheerful as higher jobless claims would trim hawkish Federal Reserve bets. has printed a fresh four-day low at 103.60 higher unemployment claims would ease out severe heat in the United States labor market. 19-month high US jobless claims are expected to fetch dovish commentaries from investment banking firms and Fed policymakers. Upbeat labor market conditions were the major catalyst, which was forcingpolicymakers for supporting more interest rate hikes. The impact of higher jobless claims can also be seen in the US Treasury yields. The yields offered on 10-year US government bonds have sharply dropped below 3.78%.
In the longer-term, easing labor market conditions would also slim resilience in consumer spending and would further ease inflationary pressures.pattern formed on an hourly scale. The precious metal has rebounded sharply and is approaching the horizontal resistance of the aforementioned pattern is placed from May 19 high at $1,983.29. While the upward-sloping trendline of the chart pattern is plotted from May 30 low at $1,932.12.
Meanwhile, the Relative Strength Index has climbed above 60.00, which indicates that the upside momentum has been triggered.