XAU dropped sharply after news from the FED

The number of people applying for new unemployment benefits in the US fell last week, showing that the labor market is relatively stable. Specifically, on May 23, the US Department of Labor said the number of applications for unemployment benefits decreased by 8,000 applications to 215,000 applications in the week ending May 18.

Markets are paying attention to the US labor market - which remains an important factor influencing the US Federal Reserve's (Fed) monetary policy. Economists note that a tightening labor market will push wage inflation higher, which will increase consumer prices overall.
Minutes of the latest policy meeting of the US Federal Reserve (Fed) show that policymakers still doubt whether current interest rates are high enough to tame inflation.