Gold Choppy After U.S. Oct. Retail Sales Climb 0.2%
Editor's Note: Updating earlier story to include economist comment, more details, updated prices.
Meanwhile, sales excluding autos were up 0.1%, according to a Commerce Department report.
Going into the report, consensus expectations compiled by news organizations had been for a flat reading or a rise of 0.1% in overall sales. Sales excluding autos were forecast to be up 0.2%.
“Last month's strong readings were also revised higher,” said Royce Mendes of CIBC Economics. “Together that is setting up consumption for another healthy quarter to end the year.”
September sales were revised from a previously reported gain of 1.6% to an increase of 1.9%.
As of 8:39 a.m. EST, Comex December gold was up $5.30 to $1,288.20 an ounce. The metal had been at $1,287.10 five minutes prior to reports on retail sales and an as-expected 0.1% rise in the Consumer Price Index. Gold prices first dipped and then recovered after the data.
Consumer purchases make up the single largest component of U.S. gross domestic product, thus market participants closely monitor the data as a gauge of the economy.