The gold price moved higher on Wednesday afternoon after the dollar pared its gains following the release of forecast-missing data from the US. Spot gold was last at $1,132.21/1,132.40 per ounce, up $7 increase on the previous close. The dollar lost ground against the euro to last trade at 1.1166, coming off Tuesday’s two-week highs after the US flash manufacturing PMI for September at 53.0 undershot. Sentiment has turned risk-averse following the FOMC decision last week to hold interest rates, while the VW scandal and weak global PMIs have unsettled the market. Earlier, China’s flash Caixin manufacturing PMI for September dipped to its lowest in six-and-a-half years to 47.6, while the EU PMI number was also slightly lower at 52. “Given this new bout of weakness and worry, the market may well start to discount the FOMC staying on hold for longer,� FastMarkets analyst William Adams said. Platinum is stuck around six-year lows – it was last at $932/946 per ounce, down $1 on the previous day’s close and back from an intraday high of $946.50. The white metal continued to feel the impact in a downturn in sentiment in the automotive sector following news that VW had cheated emission tests in the US. The market will now await the return of Japan tomorrow – the country had been absent for national holidays – to see how it reacts to the recent developments. Elsewhere, silver at $14.88/14.93 per ounce is up on the previous close of $14.77 but still below the key $15 level. Palladium was the day’s star performer, though, rising $37 to $644. Tomorrow, attention will be on Japanese PMI data, alongside the Gfk German consumer climate and US unemployment claims.

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