Gold near session lows as U.S. final Q2 GDP shows drop in consumer spending

France Nouvelles Nouvelles

Gold near session lows as U.S. final Q2 GDP shows drop in consumer spending
France Dernières Nouvelles,France Actualités
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(Kitco News) - Gold prices are trading near session lows this morning after the latest data showed the U.S. economy grew in line with expectations, while consumers curtailed their spending more than expected.

The U.S. Bureau of Economic Analysis announced on Thursday that the final reading of second-quarter Gross Domestic Product showed that the economy expanded by 2.1%, which met economists’ expectations and was unchanged from the second estimate.

“The update primarily reflected a downward revision to consumer spending that was partly offset by upward revisions to nonresidential fixed investment, exports, and inventory investment,” the report said. “Imports, which are a subtraction in the calculation of GDP, were revised down.” The BEA's featured measure of inflation, the price index for gross domestic purchases, was revised down 0.3% from the 1.7% print in the second estimate.

“The increase in real GDP reflected increases in nonresidential fixed investment, consumer spending, and state and local government spending that were partly offset by a decrease in exports,” the BEA added.

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