Gold Futures Fall on Manufacturing Data

Gold Futures Fall on Manufacturing Data (MarketWatch)

Gold futures closed 2 percent lower on Monday at $1,221.90. That’s the barbarous relic’s lowest level since July 5, 2013. The drop was precipitated by the United States’ manufacturing sector posting a stronger-than-expected score on the Institute for Supply Management’s Index: 57.3, its highest mark since April 2011. Like the PMI survey, a score of 50 on this index indicates growth. In addition to prompting gold’s fall, the November manufacturing figure also could trigger an earlier easing to the Federal Reserve’s stimulus program. If the United States can maintain, or even improve that pace, the Fed’s stimulus plan will go the way of the dodo and gold bugs could have a long ride back to the top.

Wayne Ellis

Wayne Ellis has been involved in the financial publishing industry for more than 15 years. During that time, he has helped to edit, to market and to launch products and services for Ernst & Young, LLC, Fidelity Investments, Agora, LLC, and Eagle Financial Publications. He currently puts his broad-based experience and industry expertise to use as a contributing writer for Eagle Financial Publications. He also is a graduate of Arizona State University.

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