Gold rallies on negative US economic data

With a big deal of market volatility, gold prices have pushed to session highs as the housing market, an important pillar of US economic growth, continued to weaken as consumers bought fewer new homes than expected last month. The S&P Global flash PMI reading also has benefited the precious metal which does not hesitate to benefit from the weaker US dollar.

The gold market is seeing new safe-haven demand as recession fears reemerge in the marketplace following the disappointing sales data. December gold prices last traded at $1,765.70 an ounce, up roughly 1% on the day.

the precious metals sector is seeing a turnaround as markets continue to calibrate for the Federal Reserve Chair Jerome Powell’s keynote at the Jackson Hole symposium.

At the time of writing, December gold futures were trading at $1,764, up 0.90% on the day. And September silver futures were at $19.10, up 0.94% on the day.