Gold prices recovered after the incurred losses earlier in the session amid falling dollar caused by weak data on U.S. GDP.
The U.S. economy has decreased substantially in the first quarter, almost three times exceeding the initial estimates, and fixing the steepest decline since the end of the recession.
Ministry of Commerce announced the seasonally adjusted gross domestic product fell by 2.9% in the first three months of this year. It was the fastest rate of decline since the first quarter of 2009, when the economy contracted by 5.9%. Recall that according to early estimates a reduction in the 1st quarter was at 1.0%.
Experts expect that GDP will decline substantially less - 1.7%.
It is worth noting that such a review has been associated with new data on trade, consumer spending and weaker export figure than previously thought.
Residential investment - including the costs of housing construction, landscaping and commission brokers - fell by 4.2% in the first quarter (revised from - 5%). We add that the rebound in the housing market, which is an important factor of economic growth slowed at the end of 2013 against the backdrop of the anomalous temperature and growth in mortgage rates.
Meanwhile, we note that the decline in exports in the first quarter was revised to 8.9% from 6.0% as Europe's economic recovery remains weak, while growth in fast-growing emerging markets like China and Brazil, has slowed.
By GDP also pressured stocks rise - it has reduced growth by 1.7 percentage points (previously reported decline of 1.6%).
Baseline GDP, which excludes changes in inventories declined in the first quarter by 1.3% (revised from 0.6%).
The cost of the August gold futures on the COMEX today rose to $ 1322.0 per ounce.
|remaining time till the new event being published|
All posted material is a marketing communication solely for informational purposes and reliance on this may lead to loss. Past performance is not a reliable indicator of future results. Please read our full disclaimer.