Investing.com - Gold and silver prices came under heavy selling pressure on Wednesday, after the ADP nonfarm payrolls report showed that the U.S. private sector added the largest number of jobs since November 2012 last month.
On the Comex division of the New York Mercantile Exchange, gold futures for February delivery traded at USD1,222.40 a troy ounce during U.S. morning trade, down 0.6%. Gold prices held in a range between USD1,218.60 a troy ounce and USD1,231.70 a troy ounce.
The February contract settled 0.68% lower on Tuesday to end at USD1,229.60 a troy ounce. Futures were likely to find support at USD1,212.60 a troy ounce, the low from January 6 and resistance at USD1,247.70, the high from January 6.
Meanwhile, silver for March delivery tumbled 1.9% to trade at USD19.40 a troy ounce. Comex silver prices dropped by as much as 2.4% earlier in the day to hit a session low of USD19.31 a troy ounce, the weakest level since December 31. The March contract ended Tuesday’s session with a loss of 1.57% to settle at USD19.78 a troy ounce.
ADP nonfarm payrolls rose by 238,000 in December, easily surpassing expectations for an increase of 200,000. November’s figure was revised up to a gain of 229,000 from a previously reported increase of 215,000.
The strong data bolstered the outlook for the recovery in the labor market going into 2014 ahead of Friday’s keenly anticipated jobs report for December.
Investors were turning their attention to the minutes of the Federal Reserve’s December meeting, due for release later Wednesday, for indications on the possible timing of further reductions in the bank’s stimulus program.
The Fed started to reduce its monthly bond-buying program by USD10 billion this month. Some market participants believe the central bank will likely taper its bond purchases by an additional USD10 billion in each of its next seven meetings before ending the program in December 2014, amid indications of an improving U.S. economy.
Elsewhere on the Comex, copper futures for March delivery inched up 0.1% to trade at USD3.362 a pound.
On the Comex division of the New York Mercantile Exchange, gold futures for February delivery traded at USD1,222.40 a troy ounce during U.S. morning trade, down 0.6%. Gold prices held in a range between USD1,218.60 a troy ounce and USD1,231.70 a troy ounce.
The February contract settled 0.68% lower on Tuesday to end at USD1,229.60 a troy ounce. Futures were likely to find support at USD1,212.60 a troy ounce, the low from January 6 and resistance at USD1,247.70, the high from January 6.
Meanwhile, silver for March delivery tumbled 1.9% to trade at USD19.40 a troy ounce. Comex silver prices dropped by as much as 2.4% earlier in the day to hit a session low of USD19.31 a troy ounce, the weakest level since December 31. The March contract ended Tuesday’s session with a loss of 1.57% to settle at USD19.78 a troy ounce.
ADP nonfarm payrolls rose by 238,000 in December, easily surpassing expectations for an increase of 200,000. November’s figure was revised up to a gain of 229,000 from a previously reported increase of 215,000.
The strong data bolstered the outlook for the recovery in the labor market going into 2014 ahead of Friday’s keenly anticipated jobs report for December.
Investors were turning their attention to the minutes of the Federal Reserve’s December meeting, due for release later Wednesday, for indications on the possible timing of further reductions in the bank’s stimulus program.
The Fed started to reduce its monthly bond-buying program by USD10 billion this month. Some market participants believe the central bank will likely taper its bond purchases by an additional USD10 billion in each of its next seven meetings before ending the program in December 2014, amid indications of an improving U.S. economy.
Elsewhere on the Comex, copper futures for March delivery inched up 0.1% to trade at USD3.362 a pound.