Gold Prices Fluctuate Amid Weakening US Economic Data

Gold prices are experiencing slight selling pressure in the new trading session due to profit-taking after rising close to the significant resistance zone of $4,700 per ounce. However, this decline is not causing great pressure as gold remains a defensive asset amidst weakening US economic data.

New home sales in the US decreased by 10.5% in July compared to the previous month, falling short of market forecasts and declining 6.3% from the same period last year. This has put pressure on one of the world's largest economy's key sectors due to high mortgage interest rates and expensive house prices.

Additionally, US consumer confidence has declined in August, with the index dropping to 89.4 points, the lowest level since the start of this year. Consumers are increasingly cautious about economic prospects, particularly regarding income, employment, and living expenses.

The current situation is influenced by various factors, including commodity prices, energy, and geopolitical instability. This may affect spending trends and US economic growth rates. As a result, gold maintains its attractiveness as a safe-haven asset but remains heavily impacted by the US Federal Reserve's monetary policy.