Gold Prices Remain Under Pressure Despite Disappointing U.S. Housing Construction data.
(Kitco News) - Gold prices remain under pressure but still holding above $1,400 an ounce after data showed U.S. housing construction lost momentum in June.
U.S. housing starts dropped 0.9% to a seasonally adjusted annual rate of 1.253 million units last month, the Commerce Department said on Tuesday. The data was slightly worse than expected as economists expected to see a rate of 1.26 million units. For the year housing starts are up 6.2% compared to June 2018 numbers.
At the same time, building permits â?? an important as an indicator of future construction activity â?? dropped 6.1% to a rate of 1.22 million units in June. Economists were expecting to see a rate of 1.30 permits. Annually permits are down 6.6%.
Gold is seeing little reaction to the latest housing data; August gold futures last traded at $1,408.30 an ounce, down 0.20% on the day.