Gold backs off two-week high, dollar gains ground
Gold futures titled lower off August 28 highs, still on track for the first weekly profit in three, as the dollar index gained ground for the day, following earlier data from China, the world's largest metals consumer, and the US.
As of 01:58 GMT, gold futures due in December barely inched down to $1,207.60 an ounce away from two-week highs, while the dollar index rose 0.19% to 94.70 against a basket of major rivals.
Earlier Chinese data showed the unemployment rate down to 5.0% from 5.1%, while retail sales rallied 9% y/y, slowing down from 8.8% in July.
China's industrial output rose 6.1% y/y in August, up slightly from 6.0%, while fixed-income investments rose 5.3%, slowing down from 5.5%.
US Retail Sales, Industrial Data
Earlier US data showed retail sales rose 0.1%, slowing down sharply from 0.7% in July, and missing estimates of 0.4%.
Import prices fell 0.6% m/m, compared to no change in July, while analysts expected a 0.2% drop.
US industrial production rose 0.4% in August, same as July, and beating estimates of a 0.3% increase.
The capacity utilization rate rose to 78.1% from 77.9% in July, missing estimates of 78.3%.
University of Michigan released its survey on consumer sentiment, showing a surge to 100.8 in September, the best in six months, from 96.2 in August, beating estimates of 96.7.
World Gold Council
The World Gold Council recently forecast an increase of demand on the yellow metal in the second half of 2018 as inflation rises and the global trade war takes firmer shape and hurts currencies.
Despite similar concerns in the first half of the year, gold prices were stymied by dollar's strength as the Federal Reserve tightened monetary policy on the back of strong US data.
Otherwise, Gold holdings at SPDR Gold Trust, the world's largest gold-backed investment fund, fell 2.65 tonnes on Thursday to a total of 742.53 tonnes, the lowest since February 2016, with gold prices marking the fifth monthly decline in a row in August, the longest such streak in over five years.
Copper falls off two-week high, dollar edges up
Copper futures fell off August 29 highs while still on track for the first weekly profit in three, as the dollar index climbed off July 31 lows, following earlier data from China, the world's largest metals consumer, and the US.
As of 01:29 GMT, copper futures due in December fell 0.39% to $267.25 a pound, while the dollar index inched up 0.22% to 94.73 against a basket of major rivals.
Earlier Chinese data showed the unemployment rate down to 5.0% from 5.1%, while retail sales rallied 9% y/y, slowing down from 8.8% in July.
China's industrial output rose 6.1% y/y in August, up slightly from 6.0%, while fixed-income investments rose 5.3%, slowing down from 5.5%.
US Retail Sales, Industrial Data
Earlier US data showed retail sales rose 0.1%, slowing down sharply from 0.7% in July, and missing estimates of 0.4%.
Import prices fell 0.6% m/m, compared to no change in July, while analysts expected a 0.2% drop.
US industrial production rose 0.4% in August, same as July, and beating estimates of a 0.3% increase.
The capacity utilization rate rose to 78.1% from 77.9% in July, missing estimates of 78.3%.
Ethereum declines after marking largest daily profit in a month
Ethereum fell on Friday after a hiatus from losses yesterday, with prices still holding above $200.
At Bitstamp, Ethereum shed $3, or 1.4% to $208, with an intraday high at $223, and a low at $202.
Ethereum spiked 16% yesterday, the largest profit since August 17 away from 14-month lows at $167.
Market value of cryptocurrencies fell a billion dollars to $198 billion, after hitting $186 billion on Wednesday, the lowest since November 2017.
The Ethereum network co-founder Vitalik Buterin responded to criticism on the steep decline of his product and the non-relevance of the network by noting that while it's unlikely for the sector to witness another 1000 fold increase, he still believes in its future as more companies and individuals use cryptocurrencies for transactions.