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Gold prices declined , reaching a five-week low at the same time , which was associated with the release of U.S. data . It is learned that orders for durable goods - products such as refrigerators and cars , period of use for more than three years - rose a seasonally adjusted 2.2% in February compared to a month earlier. This is the strongest value in November. Result January was revised downward to fall by 1.3%.
Economists forecast that overall orders for durable goods rise by 1.1%. New orders for civilian and defense aircraft and parts led growth.
Excluding the volatile transportation segment , orders for durable goods rose by only 0.2 %. New orders for primary metals and electronic products led the growth. But the demand for electrical machinery and equipment declined last month.
We also add that investors also evaluate options for development of the situation in the relations between Russia and the West. Big Seven disbanded Group of Eight , isolating Russia , as long as it will not change its policy towards Ukraine. Big Seven also promised to take further sanctions in response to the Crimea to Russia . Note that some investors consider gold safe haven and prefer to own this precious metal in times of geopolitical or economic instability .
Demand in the physical market dropped , and ">Analysts said the drop in gold to $ 1,300 may attract buying interest . Without physical demand quotes precious metal may continue to fall and return to the downtrend channel , because the prospects of the Fed raising interest rates and collapse of the third round of quantitative easing are strong negative factors for gold.
In addition, it was reported that the world's largest asset holder of gold investment institutions ETFs SPDR Gold Trust fell yesterday by 2.7 tons - up to 818.77 tons , the lowest level since March 21 this year.
The cost of the April gold futures on the COMEX today dropped to $ 1303.60 per ounce.
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