Gold price near 2-month highs, as U.S. job openings decline
Gold prices continued to trade close to 2-month highs on Friday, as data from the U.S. showed that job openings were declining.
Figures released by the Labor Department from its monthly JOLTS report, showed that Job openings had fallen to 10.4 million in September.
|💡 People quitting jobs in the meantime…|
News of this comes as a record-breaking 4.4 Million people quit their jobs during September. However in the long run, this doesn’t seem to hurt forecasts of the economic outlook.
Indeed, forecasts for the economy have remained bullish with Wells Fargo issuing its November economic outlook on Friday, calling for the economy to grow at a 5.5% rate this year, which is down slightly from its earlier forecast of 5.6%. The bank projects annual growth to be 4.4% in 2022 and 3.3% in 2023.
This was down from 10.6 million in August and comes as the COVID-19 unemployment bill expired in the United States during that month.
In addition to this, the number of Americans leaving their jobs also climbed, hitting a record high of 4.4 million, after increasing by 164,000 in September.
XAUUSD rallied to an intraday high of $1,866 on the news.
Tesla stock drops, as Musk warns Rivian
Shares in Tesla fell for a second consecutive session, as Elon Musk warned the newly public EV maker Rivian, that their real test is still yet to come.
Rivian, which went public this week, saw its shares climb by as much as 60% in its first 2-days of trading, reaching a market cap of almost $105 billion.
Despite this, Musk who sold another $700 million worth of $TSLA on Friday, stated that, “I hope they’re [Rivian] able to achieve high production and breakeven cash flow. That is the true test”.
Musk went on to add that, “There have been hundreds of automotive start-ups, both electric and combustion, but Tesla is [the] only American carmaker to reach high volume production & positive cash flow in the past 100 years”.
Rivian, which trades under the ticker $RIVN was up 4.19% as of writing, with $TSLA down 3.26%.
Strong Dollar sends oil price to 1-week low
Oil prices fell to their lowest level in the past 7-days, as a stronger U.S Dollar contributed to the Friday’s weakening of crude rates.
WTI crude fell to an intraday low of $79.85, its lowest level since October 5th, as a result of EURUSD falling to end the week.
Rates of EURUSD fell to a session low of 1.1433 on Friday, which is the weakest level for the pair since July 2020.
|💡 U.S. Energy output|
U.S. energy firms this week added oil and natural gas rigs for a third week in a row. The oil and gas rig count, an early indicator of future output, rose six to 556 in the week to Nov. 12, its highest level since April 2020, energy services firm Baker Hughes Co (BKR.N) said on Friday.
The move comes a few days after it was reported that stockpiles of crude oil declined by over 1 million barrels last week.
President Biden has been firm in his condemnation of current energy prices and has warned OPEC and other oil producers that output must be increased, to help regulate costs.
“Frankly, I don’t see markets; I see risks, rewards, and money.”– Larry Hite