Gold Holds Steady as Durable Goods Data Offers Fed More Room for Rate Hikes

Gold prices have held steady around $4,300 an ounce despite recent economic data suggesting a resilient US manufacturing sector. The Commerce Department announced that durable goods orders were virtually unchanged in August, with core durable goods orders rising 0.3% last month.

This increase was stronger than expected, as economists had forecasted a decline of 0.3%. However, the data also gives the Federal Reserve more room to continue tightening interest rates to deal with persistent inflation threats.

Adam Button, head of currency strategy at investingLive, noted that the core orders matter more for the underlying direction of the economy, and this number helps back up the bullish view on the economy.