Gold Prices Holding Gains Following Rise In Empire State Manufacturing Survey
(Kitco News) - The New York region’s manufacturing sector found new momentum in February, according to the latest data from the New York Federal Reserve.
The gold market is seeing little reaction to a rise in the New York Federal Reserve’s Empire State manufacturing survey’s general business conditions index, which rose to 8.8, up from Janurary’s reading of 3.9. The data was better than expected as economists were calling for a reading of 7.1.
"Manufacturing firms in New York State reported that business activity grew, though like last month, at a significantly slower pace than much of last year.
"Manufacturing firms in New York State reported that business activity grew, though like last month, at a significantly slower pace than much of last yearm," the report said.
Gold prices were already seeing some modest buying pressure ahead of the data and remains relatively unchanged following initial reaction. April gold futures last traded at $1,320.60 an ounce, up 0.51% on the day.
Although the headline number came in better than expected the components of the report were not as strong as expected. The report noted and the employment index fell for the second straight month to a reading of 4.1, down from January’s reading of 7.4.
The data also shows muted inflation pressures with the prices paid index falling to 27.1, down from January’s reading of 35.9.