Late in the evening, local time in Sweden, the price of gold on the commodities market fell 3.6 percent to $4,316 per ounce (31.1 grams).
This means this year’s gains in spot prices have been erased.
The reason is that figures earlier in the day showed far more new jobs than expected were created outside the agricultural sector in the US in May.
This, together with higher inflation from rising energy prices, is causing government bond yields to rise and increasing expectations that the central bank will raise the key interest rate.
All of this usually has a negative impact on gold prices.
