Gold price holding gains as New York Fed reports sharp drop in manufacturing activity

New York (Aug 17)  Gold prices are holding on to strong gains Monday but is seeing little movement after the New York Federal Reserve said that activity in the New York manufacturing sector dropped significantly in August.

The New York Federal Reserve said its Empire State manufacturing survey’s general business conditions index dropped to a reading of 3.7 in August, down from July’s reading of 17.2. The data was weaker than expected with consensus forecasts calling for a reading around 14.6.

The gold market has been on a rollercoaster ride with prices trying to recovery from last week’s nearly $100 drop after pushing significantly above $2,000 an ounce.  December gold futures last traded at $1,967.30 an ounce, up 0.9% on the day.

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