Gold prices slide ahead of US GDP data

Gold prices maintained a downtrend today, Feb. 28, as investors anticipated the release of the final Q4 2023 reading of the gross domestic product in the US later in the day, a day ahead of the issuance of the personal consumption expenditures (PCE) index data.

Bullion for April delivery tumbled 0.34%, or $7, to $2,037.10 per ounce at 10:55 am Makkah time, with spot prices also down 0.11% to $2,028.17 an ounce.

Likewise, silver futures for March delivery plunged by 0.89% to $22.56 per ounce, in tandem with a 1% drop in platinum spot prices to $882.18 per ounce.

“The anticipation is that the PCE report, along with the upcoming GDP data, might act as catalysts for gold to break out of its current trading range within the $2,020-$2,050 area,” said Luca Santos, analyst at ACY Securities, Reuters reported.

Markets expect the US GDP to grow by 3.3% during the fourth quarter of 2023, in the second reading due later today, in line with the preliminary reading.