Gold rises after mixed economic data
Gold prices rose on Wednesday, despite the US dollar's rise against most currencies, after the release of mixed economic data.
Data showed today that the second reading of the US GDP grew 2.1% in the third quarter, on par with forecasts.
The US Department of Labor revealed that the number of initial unemployment claims fell to 199K last week from 270K, better than forecasts of 259K.
The US durable goods orders index fell 0.5% last month, missing forecasts of a rise by 0.2%, and the core reading rose 0.5%, on par with forecasts.
The personal consumption expenditures index rose 0.5% in October, as the market expected for the second straight month.
The dollar index rose against a basket of major currencies by 0.4% to 96.8 points as of 20:34 GMT, after hitting a high of 96.9 points and a low of 96.4 points.
Gold spot prices rose 0.2%, to $1,787.5 an ounce as of 20:34 GMT.
US stocks fall after conflicting economic data
US stock indices fell in early trading on Wednesday, after the release of mixed economic data, and ahead of the Federal Reserve's meeting minutes.
Data showed today that the second reading of the US GDP grew 2.1% in the third quarter, on par with forecasts.
The US Department of Labor revealed that the number of initial unemployment claims fell to 199K last week from 270K, better than forecasts of 259K.
The US durable goods orders index fell 0.5% last month, missing forecasts of a rise by 0.2%, and the core reading rose 0.5%, on par with forecasts.
The Fed's meeting minutes will be released later today which reveals the discussions that took place during the last meeting and the decision to start reducing asset purchases.
As for stocks, Dow Jones fell 0.4% or 155 points to 35,658 as of 14:58 GMT, and S&P 500 fell 0.5% or 23 points to 4,666, while Nasdaq fell 0.7% or 115 points to 15,661 points.
Euro stays near 16-month nadir ahead of German sentiment data
Euro declined in European trade against dollar on track to hit 16-month lows, under pressure from potentially divergent monetary policies between the US and Europe ahead of crucial German sentiment data today.
EUR/USD fell 0.1% to 1.1232, with an intraday high at 1.1255, after closing up 0.15% yesterday, the first profit in three days away from 16-month lows at 1.1225.
Euro gained some ground yesterday following solid data from major sectors in Europe for November.
Euro declined once more today under pressure from divergence policy prospects for the US and Europe, with the Federal Reserve expected to hike rates faster than the ECB in 2022.
Investors await important data from Germany on business sentiment in November, which might hammer euro further if results were negative as expected.
The German ifo Business Climate is expected down to 96.8 in November from 97.7 in October.
US service and manufacturing sectors slow down
Data showed today that both the manufacturing and services sectors in the US slowed in November.
The US manufacturing PMI fell to 59.1 points in November, missing forecasts of 59.3 points.
The services PMI fell to 57 points in November from 58.7 points in the previous reading, missing forecasts of 59.1 points.