(Kitco News) - Gold prices are trading near the lower end of their range on Thursday morning after the latest U.S. housing data showed a mixed picture last month.
Housing starts fell -11.4% in March to a seasonally adjusted annual rate of 1.324 million units, the Commerce Department announced on Thursday. The data was worse than expected as economists looked for a smaller decrease of -5.3% to 1.420 million units. February saw 1.494 million units.
For the year, housing construction is up 1.9% from the March 2024 rate of 1,299,000.
The report said that building permits for future homebuilding rose 1.6% to a rate of 1.482 million last month, which was higher than the consensus expectation for 1.450 million permits. February’s print was 1.459 million units. For the year, building permit issuances were 0.2% below the March 2024 rate of 1,485,000.
The gold market is holding steady following the 8:30 am EST housing data, which was released at the same time as weekly jobless claims and the Philly Fed survey. Spot gold last traded at $3,324.41 per ounce, down 0.56% on the day.
The U.S. housing sector contributes significantly to the nation's Gross Domestic Product, and it remains a significant drag on the economy as persistent higher prices and elevated mortgage rates from the Federal Reserve's aggressive tightening cycle have pushed many new home buyers out of the market.
