Make Kitco Your Homepage

Gold price seeing modest rise off its lows after disappointing data from New York Fed

Kitco News

Editor's Note: With so much market volatility, stay on top of daily news! Get caught up in minutes with our speedy summary of today's must-read news and expert opinions. Sign up here!

(Kitco News) - The gold market remains under pressure but is slowly creeping higher as disappointing economic news from the New York Federal Reserve works counters growing investor optimism regarding a potential vaccine for the COVID-19 virus.

Monday, the New York Federal Reserve said its Empire State manufacturing survey’s general business conditions index fell to a reading of 6.3 in November, down significantly from October’s reading of 10.5. The data was worse than expected as consensus forecasts were calling for a rise to 13.8. December gold futures last traded at $1,883 an ounce, down 0.17% on the day.

The latest economic data is helping gold prices recover from an early morning selloff after Moderna announced news of a potential vaccines for the COVID-19 virus is 94.5% effective.

Economists and market analysts have noted that although a vaccine is good news for the global economy, the global pandemic has inflected a lot of damage on the economy. Economists note that the latest data from the New York Federal Reserve shows that the economy still faces a long recovery.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.