Gold took a small breather on Thursday after a solid run, slipping as the US dollar strengthened in response to better-than-expected January employment figures from the world's largest economy.
Spot gold eased around 0.3% to roughly $5,063 per ounce in early trading (around 04:53 GMT), pulling back from Wednesday's more than 1% gain. US gold futures for April delivery also dipped 0.3% to about $5,084 per ounce. As of midday February 12, 2026 (PKT time), prices hovered in the $5,060–$5,070 range, reflecting ongoing consolidation after recent highs.
The trigger? The delayed January US nonfarm payrolls report showed job growth accelerating unexpectedly, with the unemployment rate dipping to 4.3%. While revisions painted a weaker picture for 2025 overall (only about 181,000 jobs added last year instead of earlier estimates), the fresh data signaled underlying resilience in the labor market — enough to make investors rethink near-term Federal Reserve rate cuts.
A stronger dollar (US dollar index ticking higher) naturally pressures gold, since the yellow metal is priced in greenbacks — making it pricier for buyers holding other currencies. As OCBC strategist Christopher Wong noted, the jobs surprise led to a slight dialing back of Fed easing bets, adding some short-term headwinds for gold. He added that dollar sensitivity, yield movements, and policy uncertainty will likely keep creating two-way swings in the near term.
Looking ahead, markets are now eyeing more clues: Thursday's weekly jobless claims and especially Friday's key inflation (CPI) data, which could refine views on when — and how aggressively — the Fed might ease. A Reuters poll suggests rates stay on hold through Jerome Powell's term (ending May), with cuts possibly starting in June under potential successor Kevin Warsh — though some worry policy could turn too loose.
Other precious metals moved mixed: spot silver fell 0.8% to around $83.32/oz after Wednesday's sharp climb, platinum dropped 0.8% to $2,114, while palladium edged up 0.9% to $1,715.
For Pakistani investors watching global trends — especially with local gold rates often tracking international moves amid rupee dynamics — this dip might feel like a pause in an otherwise bullish year (gold up over 70% year-on-year in many metrics). But with Fed policy still in focus and geopolitical/economic uncertainties lingering, gold's safe-haven appeal remains strong for many.
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Disclaimer: This post is for informational purposes only. Stand For Pakistan is not responsible for any claims. All info is based on publicly available sources (Reuters, Trading Economics, etc.). Readers should verify through official financial platforms or advisors — prices fluctuate rapidly!
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