Gold Prices Surge Toward $4,100 as Manufacturing Growth Slows

The latest data highlights a mixed performance across the economy. While the manufacturing sector remains in expansion territory, growth has decelerated compared to May. Susan Spence, chair of the ISM Manufacturing Business Survey Committee, noted that while new orders and production indexes grew at a slower pace, employment metrics showed signs of improvement. The Employment Index rose to 49.7 percent, climbing 1.1 percentage points from the previous month.

Investors reacted swiftly to the report, pushing gold up 2.17% to trade at $4,094.56. The market found additional support as the Prices Index cooled significantly, dropping 9.1 percentage points to 73 percent. This moderation in input costs, combined with the weaker-than-expected headline PMI, has reinforced the current bullish sentiment for precious metals as traders weigh the implications of slowing industrial momentum.