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Gold price edges up as U.S. new home sales beat expectations in August

Kitco News

(Kitco News) Gold ticked up but was still trading below $1,750 an ounce level as the U.S. new home sales beat expectations in August with an advance of 1.5%. The prior month’s number was also revised up.

New home sales were at a seasonally adjusted annualized rate of 740,000 homes in August, the U.S. Commerce Department said on Friday. July’s sales were revised up to a rate of 729,000 units from 708,000.

Market consensus projections called for sales to advance to 714,000 units in August.

On an annual basis, new home sales were down 24.3% from last year’s estimate of 977,000 units.

Gold edged up following the data release but was still trading under pressure. December Comex gold futures were last trading at $1,745.50, down 0.25% on the day.

Looking at home prices, the report said that the median sales price for homes sold last month was $390,900, while the average price was $443,200.

The inventory of houses for sale as of the end of August was at 378,000, representing a 6.1-month supply at current sales rate.

Live 24 hours gold chart [Kitco Inc.]

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