Gold (GC=F) August futures opened at $4,503 per troy ounce on Friday, flat compared to Thursday’s closing price of $4,505. The gold price moved lower this morning to $4,443 at 9:27 a.m. ET.
The price of gold opened flat compared to Thursday’s close, but is moving lower this morning after the May employment report and following news that Hezbollah has rejected an Israel-Lebanon ceasefire.
Since the May employment numbers came in much stronger than expected, it will be interesting to see how the Fed balances that positive news against inflation concerns that haven’t let up since the war in Iran began.
The US economy added 172,000 jobs in May, blowing past expectations, according to the government’s closely watched jobs report. The unemployment rate remained flat at 4.3%.
Economists surveyed by Bloomberg had anticipated payroll growth of 88,000 for the month.
Keep reading: Jobs report smashes expectations with payroll growth of 172,000
Current price of gold
The opening price of August gold futures on Friday was flat compared to Thursday’s closing price. Here’s a look at how the gold price has changed versus last week, month, and year:
One week ago: +0.2%
One month ago: -1%
One year ago: +33.6%
On Jan. 29, gold’s one-year gain was 95.6%.
24/7 gold price tracking: Don’t forget you can monitor the current price of gold on Yahoo Finance 24 hours a day, seven days a week.
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How much gold should you own?
A gold investment can add stability and inflation protection to your portfolio. But it can also dilute your gains when stock prices are rising quickly. Finding the right balance between gold’s diversification benefits and profiting from growth potential in other assets can be challenging.
Even the experts are divided on how to achieve the correct balance. Below, five experts explain their recommended gold allocations, which range from 0% to 20%.
Learn more: How to invest in gold in 4 steps
No gold: Trade-off is too high
Robert R. Johnson, professor at Creighton University’s Heider College of Business, does not advocate gold investing. In his words, “while having a small position in precious metals may dampen portfolio volatility in the short-run, the tradeoff between slightly dampened volatility and the lost long-term return is certainly not a prudent one, particularly for Gen Z/millennials with long investing time horizons.”
2% to 5% allocation, depending on the situation
Brett Elliott, director of content and SEO at American Precious Metals Exchange (APMEX), recommends setting an allocation that aligns with your investing goals.
Growth-oriented investors may be comfortable with an allocation of 10% or 15%, according to…
Source: finance.yahoo.com
