Weekly unemployment claims came in better than expected ahead of tomorrow’s monthly employment report. Also bolstering market sentiment and risk appetite was news that China would play a greater role in supporting the EU’s efforts to contain its debt crisis.

Spot gold was almost 1% higher, bid at $1,759.30 per ounce with an ask price of $1,760.30. Spot gold traded as high as $1,760.50 and as low as $1,743. The London afternoon reference price fix came in at $1,751, $11 per ounce higher than Wednesday’s reference price, according to Kitco market data.

Spot silver was showing a gain of nearly 1.5% an ounce, bid at $34.21 with an ask price of $34.31. The morning high as of time of writing was $34.37 and the low was $33.54. Thursday’s reference price was set at $33.67 in the London a.m., 13 cents per ounce below Wednesday’s reference price.

Seasonally adjusted initial claims for unemployment insurance totaled 367,000 the week ended Jan. 28, a decrease of 12,000 from the previous week’s 379,000. The four-week moving average was 375,750, down 2,000 from the previous week’s four-week average.

The ranks of those receiving unemployment insurance continued to decline, as well. The advance reading of seasonally adjusted insured unemployment was 3,437,000 (2.7%) for the week ended Jan. 21, down 0.1% from the previous week. The four-week moving average was 3,527,500, a decrease of 1.2% from the previous week.

Elsewhere on jobs front, Challenger Gray reported a 28% (53,486) surge in job cuts by the nation’s employers in January, the largest monthly layoff since 115,730 job cuts were announced last September. That’s a 28% jump from December, and 39% higher than Jan. 2011.

“It is not unusual to see a job-cut surge to start the year. Historically, January is the heaviest job-cut month,” the global outplacement firm noted.

Gold bullion prices were slipping lower after hitting an eight-week high in London morning trading Thursday, according to BullionVault’s London Gold Market report. China and India’s gold imports continued to increase in 2011 and into 2012, according to market reports, despite record-high domestic gold production in China and the imposition of import duties in India.

In stock exchange trading, gold trusts were moving higher and the iShares Silver Trust (NYSE:SLV) was showing strong gains for the second consecutive morning.

• The SPDR Gold Trust (NYSE:GLD) was moving higher, up around 0.84%.
• The iShares Gold Trust (NYSE:IAU) was showing gains of around 0.9%.
• The iShares Silver Trust was moving sharply higher, up more than 1.5%.

Gold and silver mining ETFs were up sharply.

• The Market Vectors Gold Miners ETF (NYSE:GDX) was up 2.25%.
• The Market Vectors Junior Gold Miners ETF (NYSE:GDXJ) was showing gains of more than 2.3%.
• The Global X Silver Miners ETF (NYSE:SIL) was up nearly 2%.

Gold mining shares were showing strong gains, except NovaGold Resources (AMEX:NG), which announced it’s increasing a previously announced equity offering by 8.6 million shares.

• Agnico-Eagle Mines (NYSE:AEM) was showing gains of more than 1.7%.
• Barrick Gold (NYSE:ABX) was up around 2.1%.
• Eldorado Gold (NYSE:EGO) was about 2.6%.
• Goldcorp (NYSE:GG) was down nearly 2.4%.
• Kinross Gold (NYSE:KGC) was showing gains of nearly 2%.
• Newmont Mining (NYSE:NEM) was up more than 2%.
• NovaGold Resources was sinking fast, down around 8.5%.
• Yamana Gold (NYSE:AUY) was up some 2.2%.

Silver mining shares were up sharply.

• Coeur d’Alene Mines (NYSE:CDE) was moving higher, up more than 2.4%.
• Hecla Mining (NYSE:HL) was up about 1.6%.
• Pan American Silver (NASDAQ:PAAS) was showing gains of more than 2%.
• Silver Wheaton (NYSE:SLW) was showing gains of around 2.4%.
• Silver Standard Resources (NASDAQ:SSRI) was showing gains of some 1.3%.

As of this writing, Andrew Burger did not hold a position in any of the aforementioned securities. Adrian Ash of BullionVault contributed to this report.