The U.S. Labor Department released the job's report numbers for May this morning. Initial estimates for nonfarm payrolls new jobs added in May were 185,000, The actual numbers came in way below expectations at just 138,000. 

With the U.S. Labor Department releasing job report numbers in under 18 hours, traders and investors could see some fireworks in the market tomorrow. Today, the U.S. ADP jobs report released its numbers, which came in way above the initial estimates. Estimates expected about 180,000 jobs to be added in the month of May. The actual numbers released today came in with 253,000 new jobs added.

According to the beige book which was released today, the U.S. economy has expanded at a moderate pace. This is based on activity from early April through the latter part of May. This information is supportive of many Fed members’ sentiments to implement an interest rate hike in June.

Traders and investors witnessed a mixed bag in the precious metals markets today, with gold and platinum trading lower while silver and palladium posted gains. As of 330 Eastern Standard Time, gold futures are currently off by almost seven dollars on the day, with a net drawdown of just over a half of a percent at $1261.40.

Following gold prices hitting a low of $1215 per ounce during the week of May 8th, market participants have witnessed gold prices moving steadily higher, week in and week out. Although gold prices stagnated at the beginning of this week, today’s dramatic $12 upside move resulted in another week of higher gold prices for the third consecutive week.

Gold futures are trading modestly higher as a result of Fed minutes which were released yesterday. These minutes underlined the resolve of the Federal Reserve to implement another interest rate hike in June. Recent price action in gold has clearly illustrated a firm and steadfast base forming at $1250 per ounce.

This morning the Federal Reserve released minutes from this month’s FOMC meeting. Immediately following the release of the minutes, we saw U.S. equities moving modestly to higher ground. At the same time, we saw the U.S. dollar trading modestly lower and gold trading slightly higher.

After trading to a three-week high, gold prices closed solidly lower on the day. As of 4 o’clock Eastern Standard Time, gold futures are off by $10.10 (-.80%), trading at 1251. Major contributing factors cited for today’s decline are a strong U.S. dollar as well as profit taking.

Now at the beginning of the third consecutive week, gold and silver prices continue to climb. After trading to a low of $1215 per ounce during the week of May 5th, gold futures have moved roughly $45 higher, currently up $7.20 (+0.59%) and trading at $1260.80. Silver futures have also gained substantially over the last three weeks.

Recent action in gold indicates that there is solid price support at the recent low of $1215. On a technical basis, there are two major patterns identified that confirm this assumption and market model. The combination of these patterns together indicates a high probability that gold prices will move higher over the next few weeks.