Gold Prices Ignore Drop In Philly Fed Survey
(Kitco News)- Positive sentiment within the manufacturing sector in the Philadelphiaregion was weaker than expected in January, according to the latest data fromthe Philadelphia Federal Reserve.
Thursday, regional central bank's manufacturing business outlook survey fell to 22.2 in January, down from 26.2 in December, suggesting slower economic growth. The consensus expectations compiled by news organizations were projecting a slight drop to 24.9.
The gold market is ignoring the weaker-than-expected data as prices remain under modest pressure. February gold futures last traded at $1,328.90 an ounce, down0.76% on the day.
Looking at the components of the report, the New Orders Index dropped to a reading of 10.1, following December's reading of 28.2. However, shipments increased to a reading 30.3, up from December's reading of 23.9.
The regional manufacturing labor market saw weaker growth in January, with the Number of Employees Index falling to 16.8, down from December's reading of 19.7.
Positive for gold is that inflation appears to be rising within the sector. The Prices Paid Index increased to 32.9 from December's reading of 27.8.
The Philly Fed survey comes after a drop in sentiment in the New York region, according to the New York Federal Reserve.
By Neils ChristensenFor Kitco News
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