(Kitco News) - Gold prices are trading near session lows this morning after the latest data showed the U.S. housing market delivering a weaker-than-expected performance last month.
Housing starts fell 5.2% in September to a seasonally adjusted annual rate of 1.221 million units, the Commerce Department announced on Tuesday. The data was worse than expected as economists looked for a print of 1.300 million units. August’s number was revised up to 1.288 million units.
The report said that building permits for future homebuilding fell 0.2% to a rate of 1.400 million in September, which was better than the consensus expectation for 1.390 million permits, while August's figure was unrevised at 1.403 million.
Gold prices were trading near session lows in the minutes before the 8:30 am ET housing data. Spot gold last traded at $4,120.35 per ounce for a loss of 0.49% on the daily chart.
The U.S. housing sector contributes significantly to the nation's Gross Domestic Product, and it has been a significant drag on the economy as persistent higher prices and elevated mortgage rates resulting from the Federal Reserve's aggressive tightening cycle have pushed many new home buyers out of the market.
