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Spot gold drops to $4,280/oz as flash S&P composite PMI improves to 58.4 in September
kitco.com • • business
Key Points:
- The U.S. services sector showed stronger-than-expected growth in September, with the S&P Global Composite PMI rising to 58.4, marking the fastest business activity growth in over five years.
- Both the services PMI (58.7) and manufacturing PMI (57.0) exceeded forecasts, indicating robust expansion in these sectors and contributing to a positive economic outlook.
- Employment rose sharply with job additions at the fastest pace in over four years, but supply chain bottlenecks and increased backlogs point to capacity constraints and rising inflationary pressures.
- Input costs surged due to higher energy prices, exacerbating inflation concerns and leading to increased selling prices across industries.
- Following the strong PMI data, gold prices dropped significantly, falling 1.74% to $4,282.81 per ounce as investors reacted to the positive U.S. economic indicators.
