Spot gold trades at $4,604/oz after U.S. weekly jobless claims drop to 205k

Spot gold traded down to $4,604.33/oz on March 19 following the release of slightly better-than-expected U.S. weekly jobless claims data. Initial unemployment claims dropped to 205,000 for the week ending March 14, below economists’ forecast of 215,000, signaling continued labor market strength. The four-week moving average of new claims declined to 210,750 from a prior revised figure of 211,500, adding further support to the tight labor market narrative. However, continuing claims edged slightly higher to 1.857 million, marginally above the consensus estimate of 1.850 million, indicating limited improvement in ongoing unemployment stretches. Gold’s decline on the release suggests investors are pricing in the potential for sustained Fed tightening or a resilient U.S. economy that diminishes safe-haven demand for the metal. Key near-term risk factors include upcoming inflation data and Fed commentary, which will influence whether gold stabilizes around the mid-$4,600 range or extends its pullback. Despite the dip, some traders remain watchful of geopolitical or inflation-driven upside risks that could quickly reposition gold as a preferred hedge should labor market strength falter, keeping market participants cautious but alert.