Gold gains on investor’s fears after U.S mounting job losses

Gold is trading at $930 as of 9:25am, London Time. Gold’s Pool-Position is 37% Long, meaning that most Finotec clients are selling the precious metal.

Gold advanced after mounting unemployment in the U.S. the world’s largest economy which raised concerns about a prolonged recession, prompting investors to seek the precious metal to preserve as haven. Employers in the U.S. cut more jobs than forecast and the unemployment rate rose to the highest in 26 years. “The jobs data out of the U.S. is going to reignite fears among investors that the global economic recovery will be slower than expected,” said Ben Westmore, a minerals and energy economist at National Australia Bank Ltd. “When investors become risk-averse they retreat out of equity markets and into gold.” Gold is trading at $930 as of 9:25am, London Time. Gold’s Pool-Position is 37% Long, meaning that most Finotec clients are selling the precious metal.