Yellow metal lost 0.8% in the week ending 3 August after the central bankers across the globe refrained to announce any new measures to stimulate the vulnerable economy. COMEX Gold most active December contract on NYMEX closed at $ 1609 per troy ounce on Friday, compared to $ 1622 per troy ounce at the start of the week. The expectations from Federal reserve were not met once again as the organization gave no indications for fresh stimulus. The fall in PMI of China earlier this week already lowered the confidence of bullions. Last trading day saw build up in interest due to favorable jobs report from US.
The US department of labour report showed that non-farm payroll employment increased by 163000 jobs in July following a downwardly revised increase of 64000 jobs in June. Dollar was marginally poised lower versus the Euro ending at 1.238. The European Central Bank on Thursday decided to retain its interest rate at a record low after cutting it by a quarter point in July. Eurozone economic sentiment deteriorated more-than-expected in July due to lower confidence in all sectors and marked the fourth consecutive month of downturn. The economic sentiment index fell to 87.9 in July from 89.9 in June.
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