Gold prices dipped in holiday-thinned trading on Monday as robust U.S. jobs data fueled hopes for a rapid economic recovery and bolstered global equities, denting bullion’s appeal.
Spot gold was down 0.3% at $1,724.50 per ounce, as of 0919 GMT. Gold futures eased 0.2% to $1,725.20 per ounce.
Most markets in Europe were closed for the Easter holiday.
The stellar March non-farm payrolls print is ramping up optimism surrounding the U.S. economic recovery, which in turn is boosting risk-on sentiment and dampening bullion demand, FXTM market analyst Han Tan said.
“Should the hard data continue to warrant more risk-taking activities in the markets, traditional safe havens are likely to struggle against the risk-on tide,” Tan said.
Global stocks rose to a 1-1/2-month high after data last week showed the U.S. economy created the most jobs in seven months in March aided by vaccine rollouts and additional pandemic relief.