Gold Weakens As Chicago PMI Rises To 66.2 In October
(Kitco News) - The headline index for the Chicago Business Barometer, widely known as the Chicago Purchasing Managers Index, rose to 66.2 in October from 65.2 last month. Comex December gold is at $1,269.10 an ounce, down 0.7%.
The reading was the highest since March 2011. Consensus forecasts had called for it to be around 62.
The Chicago report tends to be watched closely as a sign of strength in the Midwestern manufacturing sector and as a possible precursor to the Institute for Supply Management’s PMI for the entire nation, which is scheduled for release on day.
Readings above 50 in such diffusion indexes are seen as a sign of economic growth, and vice-versa. The farther an indicator is above or below 50, the greater or smaller the rate of change.