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Gold prices fell today , losing all previously won positions , which was due to release a report on U.S. economic activity . Note that in October, the index of business activity in the U.S. service sector , which is calculated by the Institute for Supply Management (ISM) rose , reaching at the same level of 55.4, compared with the September reading at around 54.4 . According to expert estimates , the value of this index was down slightly to 54.2 . The data also show that the employment index increased by 3.5 to 56.2 % . Note that the index remains in positive territory for 15 consecutive months.
Growth in October was recorded in 10 sectors , namely, arts, entertainment and recreation , agriculture, forestry, hunting and fishing , transportation and warehousing , construction, mining sector , utilities, health care and social assistance , accommodation and food services . Many respondents commented on the negative impact of the partial termination of the government in October.
Add that many investors are closely watching U.S. data in anticipation of clues about when the Fed will lower its program of quantitative easing, which has become one of the major factors to increase the price of gold during the financial crisis.
Also today it was announced that the demand for gold in India, which is the largest consumer of gold in the world, and failed to raise on a Tuesday. Indian premiums for gold halved in the last week , traders said , as demand for the metal fell after the festival season . Note that the premium in China, which is ready to take on the role of the largest consumer of gold in the world, slightly recovered .
In addition, the pressure on the price of gold futures rendered speculation that the European Central Bank may decide to have another reduction of key rates if inflation will remain " subdued ."
The cost of the December gold futures on COMEX today dropped to $ 1309.30 per ounce.
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