Gold Remains Down Despite 10% Drop In December New Home SalesBy Kitco News
Thursday January 26, 2017 10:03
(Kitco News) - The gold market continues to remain under pressure, unable to attract investors after data showed fewer-than expected U.S. consumers bought homes last month.
Thursday, the U.S. Commerce Department said that sales of new homes in December fell 10.4% to a seasonally adjusted rate of 536,000 units, down from November’s revised rate of 598,000. Economists were expecting to see a modest decline to 585,000.
Gold futures, have seen some strong selling pressure through most of the morning and continue to hover just above session lows. February gold futures last traded at $1,189.20 an ounce, down 0.72% on the day.
According to the report, December’s sales are down 0.4% compared to sales in 2015.
Looking at prices, the department said the median sales price of new houses sold last month was $322,500, up from November’s median price of $305,400; the average sales price was $384,000, up from $359,900 recorded in the previous month.
The inventory of new homes for sales at the end of the month was 259,000 units, representing a 5.8-month supply.