Gold closes down $3.6 as strong dollar and better-than-expected U.S. GDP numbers pressure markets

Gold futures closed lower Thursday (Oct. 27) as markets came under pressure from the dollar’s appreciation. Investors are selling gold as a safe haven after the U.S. released third-quarter gross domestic product (GDP), which grew more than expected.

  • The gold contract was down $3.6, or 0.22%, at $1,665.6 per ounce.
  • Silver futures were up 0.8 cents, or 0.04%, at $19.494 an ounce.
  • The platinum was up $4.9, or 0.51%, at $967.4 per ounce.
  • Palladium fell $22.30, or 1.1%, at $1,938.20 an ounce.

Gold contracts were pressured by the strength of the dollar. The dollar index against the six major currencies in a basket of currencies rose 0.81% to 110.5870.

The strength of the dollar has meant that gold contracts priced in dollars have become more expensive for investors holding other currencies.

Investors are also selling gold as a safe haven after the U.S. Commerce Department released its first estimate for third-quarter GDP, which grew 2.6%, higher than the 2.3% analysts expected.

The data helped ease concerns about a recession in the U.S. and give investors confidence that the U.S. economy can withstand the Federal Reserve’s (Fed) interest rate hike.

Investors are awaiting the release of the Personal Consumption Expenditure (PCE) price index today, which is favored by the Federal Reserve as an inflation indicator.

The Spot Market is Open

Friday, October 28, 2022

Metals
Updated at
USD
Bid/Ask
Ounce
Change

Low/High
Gold
11.40
1,664.60
1,665.60
+0.90
+0.05%
1,660.70
1,668.10
Silver
11.40
19.56
19.66
-0.03
-0.15%
19.48
19.74
Platinum
11.40
962.00
972.00
+4.00
+0.42%
958.00
975.00
Palladium
11.20
1,879.00
2,029.00
+9.00
+0.48%
1,861.00
2,034.00
Rhodium
05.00
13,000.00
15,000.00
0.00
0.00%
13,000.00
15,000.00

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