Dollar Buying Takes Gold Down As Global Economy Cools
On the Comex division of the NYMEX, December gold was down by 0.3% at $1768.5 a troy ounce. The HSBC China manufacturing index provided a reading of 47.9 for September from 47.6 in August. A figure below 50 is indicative of contraction.
With the reports on US economy, Japan and China portraying the image of a cooling global economy safe haven assets like Dollar have been brought in bulk by investors causing gold prices to fall.
On the Comex division of the NYMEX, December gold was down by 0.3% at $1768.5 a troy ounce. The HSBC China manufacturing index provided a reading of 47.9 for September from 47.6 in August.
A figure below 50 is indicative of contraction. The Chicago PMI too dropped to seasonally adjusted 49.7 compared to 53.0 in August; a sharp fall.
The Japanese Tankan Manufacturing index dropped to a seasonally adjusted -3 in the third quarter from -1.
December gold on the MCX was seen trading at 31493 a tad low by 0.13%. The downside is expected to be capped as rupee declined against dollar at 52.92/94.
Source: CommodityOnline
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