The US dollar and stock index futures frowned upon the GDP estimate and headed lower. The development may give gold players another chance at trying to go for the assault on the $1,660-$1,675 resistance area.
This morning, the midweek session in New York opened lower as gold notched a fourth day of losses, and traded near $1,640 per ounce. Anxieties connected to China’s economy flared up once again this morning.
Gold fell to a 12-week low on signs that the Federal Reserve won’t provide more U.S. economic stimulus, boosting the dollar and eroding the appeal of precious metals as alternative investments. Silver tumbled 6.7 percent.
Stocks and commodities declined after China raised fuel prices by the most in two years and BHP Billiton Ltd. said the nation’s steel production is slowing. Treasuries advanced for the first time in 10 days.