Gold ETF Gains 0.7% After 92,000 Job Losses Spur Safe-Haven Demand
The SPDR Gold Shares ETF rose 0.7% to $5,170 per ounce after U.S. February nonfarm payrolls unexpectedly fell by 92,000 and unemployment ticked up to 4.4%, fueling safe-haven demand. WTI crude futures jumped over 7% on announced Kuwait production cuts, reinforcing inflation pressures and gold appeal.
1. Payroll Shock Boosts Gold Demand
February’s 92,000 nonfarm payroll decline and a rise in unemployment to 4.4% undermined risk assets and drove investors into safe havens, lifting the SPDR Gold Shares ETF by 0.7%.
2. Kuwait Cuts Fuel Inflation Concerns
WTI crude oil futures jumped over 7% to $86 a barrel after Kuwait announced production cuts, heightening inflation expectations and strengthening gold’s role as an inflation hedge.
3. Equity Futures Slide Reinforces Safe-Haven Flows
Dow Jones contracts fell 1.2% while Nasdaq 100 and S&P 500 futures dropped 1.5%, reinforcing investor flight from equities into gold and boosting demand for the SPDR Gold Shares ETF.