Gold falls on market expectation for higher, longer rates

0 Comment(s)Print E-mail Xinhua, October 5, 2023
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CHICAGO, Oct. 4 (Xinhua) -- Gold futures on the COMEX division of the New York Mercantile Exchange fell on Wednesday as the market is expecting for higher and longer interest rates.

The most active gold contract for December delivery fell 6.70 U.S. dollars, or 0.36 percent, to close at 1,834.80 dollars per ounce.

Economic data released on Wednesday were mixed. The Automated Data Processing Inc. (ADP) National Employment Report showed that U.S. private-sector employment rose by a tepid 89,000 in September, the smallest increase in two and a half years. Economists had forecast a gain of 150,000.

The U.S. Commerce Department reported that the orders for U.S. manufactured goods rose 1.2 percent in August, after declining 2.1 percent in July. Economists were predicting a 0.3-percent increase.

The services index of the Institute for Supply Management (ISM) edged down to 53.6 percent in September from 54.5 percent in August.

The S&P final U.S. Services Purchasing Managers' Index came in at a reading of 50.1 in September. There were no expectations for this measure.

The seasonally adjusted final S&P Global U.S. Services PMI Business Activity Index posted 50.1 in September, down from 50.5 in August and broadly in line with the earlier released flash estimate of 50.2.

The market focus is now on September non-farm payrolls data due out on Friday.

Silver for December delivery fell 23.10 cents, or 1.08 percent, to close at 21.146 dollars per ounce. Platinum for January delivery fell 5.40 dollars, or 0.61 percent, to close at 874.20 dollars per ounce. Enditem

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