By Adrian Ash
OLD PRICES whipped violently Friday on news of the strongest growth in US employment since October, recovering all of a sudden 2% plunge to head for the highest weekly close since March 2014 as traders continued to bet that the Federal Reserve won't raise interest rates anytime soon.
The US government's first estimate of June's net addition to non-farm payrolls came in at 287,000 – almost as far ahead of Wall Street forecasts as May's 6-year low was beneath them.
"A very strong jobs figure will trigger some short term pain for gold prices," said Swiss refining and finance group MKS's trader James Gardiner before the news.
"However, the underlying uptrend should prevail in the medium term."
May's strike by workers at telecoms giant Verizon had cut 37,000 jobs off the Bureau of Labor Statistics' previous payrolls report.
"Largely reflecting" their return, the BLS said today, employment in the TMT sector rose 28,000 in June.
Already the weakest monthly jobs growth in 6 years, May's figure was today revised down from 38,000 to just 11,000.
The US unemployment rate rose to 5.1% from May's 8-year low of 4.7%.