MW: Gold trades higher as macroeconomic data disappoints
SAN FRANCISCO (MarketWatch) -- Gold futures rose Monday as the day's round of macroeconomic data disappointed and spurred some safe-haven buying for the metal.
Gold for December delivery, the most active contract, added $9.90, or 0.8%, to $1,226.40 an ounce on the Comex division of the New York Mercantile Exchange.
Investors reacted to the New York Federal Reserve Bank's data showing a smaller-than-expected rebound for its Empire State manufacturing index, which rose to 7.1 in August from 5.1 in July.
"This report is weaker than we had hoped, and suggests that the manufacturing slowdown of the past few months has continued into August," wrote economist Nicholas Tenev at Barclays Capital.
Investors also grappled with news that Japan's gross domestic product rose just 0.4% in the second quarter, much worse than the 2.3% economists had expected.
Gold also received a helping hand from a weaker dollar. The dollar index (DXY 82.50, -0.45, -0.55%) , which compares the U.S. currency to a basket of six currencies, declined 0.6% to 82.41.
Other metals tracked gold higher, with September silver adding 29 cents, or 1.6%, to $18.41 an ounce. Copper for September delivery rose 4 cents, or 1.1%, to $3.29 a pound.
Gold ended marginally lower Friday, but rose 1% for the week as disappointing macroeconomic data pushed the metal higher.