Gold Futures Lose Sparkle in Quiet Post-Holiday Trade

November 25, 2016 4:51AM CST

Commodities futures markets are quiet on Friday as most market participants continue on with a long weekend after Thursday’s U.S. Thanksgiving Day holiday. Prior to the early close in the metals futures sector, gold futures prices lost sparkle in morning commodities futures trading.

The December contract in gold futures was last down .43 percent at $1,184.3 an ounce. The metal has been pressured by a stronger dollar on expectations that the Federal Reserve will raise interest rates next month. Wednesday’s Fed meeting minutes and upbeat U.S. economic data added to those expectations, as the minutes said a rate hike could come “relatively soon.”

Among the meager data released on Friday, October Advanced Wholesale Inventories slowed -.0.4 percent compared to most economists’ expectations of a rise of 0.2 percent.

Also on Friday, data provider Markit’s Flash November Purchasing Manager’s Index was 54.7, down slightly from October’s 54.8

The International Trade in Goods report for October was down -$62 billion compared to the prior month’s deficit of -$56.1 billion.

Next week’s economic calendar in the U.S. is a busy one, with the exception of a quiet Monday. Reports of note to the commodities futures markets include third-quarter GDP on Tuesday, as well as the November Consumer Confidence report. Wednesday brings October Personal Income and Spending, and the November Chicago Purchasing Managers Index.  On Thursday, the November Institute for Supply Management Index is due for release, as well as Auto and Truck Sales data for November.

The week ends with the November Employment report, which will be closely watched for clues to strength in the economy and moves from the Federal Reserve.

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