(Kitco News) - The gold market is trading at session highs ahead of the weekend after the latest data confirmed that consumer sentiment in the U.S. improved to its highest level in over half a year.
The University of Michigan said Friday that the final reading of its Consumer Sentiment survey was 74 in December, the highest reading in seven months and up from November’s final reading of 71.8. The data was the same as the preliminary reading, as expected.
“Consumer sentiment confirmed its early-month reading, rising for the fifth consecutive month and reaching its highest value since April 2024,” said Surveys of Consumers Director Joanne Hsu. “Buying conditions exhibited a particularly strong 32% improvement, primarily due to a surge in consumers expecting future price increases for large purchases.”
The gold market is seeing continued strength following the 10 am EST data release. Spot gold last traded at $2,620.42 per ounce for a gain of exactly 1.00% on the day.
“The expectations index continued the post-election re-calibration that began last month, climbing for Republicans and declining for Democrats in December” Hsu said. “Importantly, for Independents, expectations were essentially unchanged from the past month or so for personal finances, short-run business conditions, and long-run business conditions.”
“Broadly speaking, consumers believe that the economy has improved considerably as inflation has slowed, but they do not feel that they are thriving; sentiment is currently about midway between the all-time low reached in June 2022 and pre-pandemic readings,” she added.
