NEW YORK: US gold futures sank to seven-week lows on Friday, hit by falling oil prices and gains in the dollar, while modest morning gains in copper capped by disappointing manufacturing data from China.
Gold fell in the wake of lower oil prices and as Greece's approval of austerity measures to stave off default undercut the metal's appeal as a safe haven.
Copper gains held back after data showed slower-than-expected Chinese factory activity.
China's official Purchasing Managers' Index (PMI) for June fell to 50.9 from 52 in May, according to the China Federation of Logistics and Purchasing. This was less than the 51.3 expected by the market.
HSBC's China PMI for June also dipped from 51.6 to 50.1, the lowest in 11 months.
LME copper warehouse stocks fell for a seventh-straight session, down 1,800 tonnes at 463,450 tonnes.
Base metals investors await US auto sales data for June, which is seen rising 2 percent from May and a healthier 8 percent year-on-year.
Copyright Reuters, 2011
Comments
Comments are closed.