Gold ignores a 2.1% reduction in US durable orders
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(Kitco News) – Gold prices so little response to the recently released data showing US orders for durable factory goods Decline of 2.1% in April.
Orders for durable goods fell to $ 248.4 billion last year, which was slightly more than expected after an upward decline of 1.7% in March, the trading department said Friday. Market consensus requires that lasting values fall 2%.
In response to the data, gold prices saw little movement with the June Futx gold futures last trade of $ 1.283.50, down 0.15% on the day.
The monthly decline in durable goods orders amounted to $ 5.4 billion and was largely driven by the weakness of business investment and transportation equipment.
At the same time, core-containing goods that removed the volatile transport sector came into 0% in April after a 0.5% decline in March. Consensus forecasts required an increase of 0.2%.
The Government's lasting reports include goods with an expected lifetime of at least three years, such as kitchen appliances, computers, furniture, cars and aircraft.
In the April report there was a fall in the demand for Boeing jets, new cars and trucks. Boeing jetliners ordering was only in four orders in April following the worldwide aircraft suspension to its 737 MAX plans.
Also, the annual rate of business investment declined to 1.3% from 3.8% in April.
Economists highlighted that the details of the report were even worse than the weak headline number.
"Some of the other details were even worse. Orders with capital goods fell by 0.9%, whereas last month was revised significantly (reaching 0.3% against 1.4% earlier). While trends in three months are still In positive territory, we need to see better numbers ahead for it to be so. Today's data strengthens our forecast for a business investment weakening in the second quarter, and can weigh on USD today, "said Catherine Judge, CIBC Capital Markets Finance. 19659015] Live 24-Hour Gold Map [Kitco Inc.]” style=”width:auto; max-width:100%; height:auto”/>
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