Gold price remains under pressure after rising US PMI flash data

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Editor’s Note: With such market volatility, stay up to date with daily news! Take a minute to read our quick summary of today’s must-see news and expert advice. Register here! (Kitco News) – Gold prices are off their session lows but still remain under pressure even as sentiment in the manufacturing and service sectors has improved more than expected.
On Friday, IHS Markit said its flash U.S. manufacturing purchasing managers index for August rose to 53.6 from 50.9 in July. The data was better than expected. Economists expected to see a reading of 51.9.
The report says sentiment in the US manufacturing sector is at its highest level in 19 months.
At the same time, the business services sector PMI reading rose to 54.8 from 50 in July. Economists predicted the index would stand at 50.9. Sentiment in the service sector is at its highest level in 17 months, according to the report.
The gold market does not react much to the latest US economic data; December gold futures traded last at $ 1,935.90 an ounce, down 0.57% on the day.

“Data for August indicated further improvement in business conditions in the private sector, as customer demand increased from both manufacturers and service providers. Notably, the further increase in sales among companies in the service sector was good news after five months of decline, ”said Siân Jones, economist at IHS Markit in the report.

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