Gold prices holding gains as U.S. ADP shows 534K jobs gains in November

The gold market is holding on to modest gains Wednesday even as the private sector labor market continues to improve, according to the latest report from private-sector payrolls processor ADP.

Wednesday, ADP said that 534,000 jobs were created this past month, slightly beating expectations; consensus forecasts were calling for job growth of around 525,000.

The gold market was trading in positive territory ahead of the data and is holding firm in initial reaction to the labor market data. February gold futures last traded at $1,786.50 an ounce, up 0.56% on the day.

Although the U.S. labor market continues to improve, many economists have noted that wages are also being driven higher, leading to longer-term inflation pressures.