Gold price remains under pressure after Increase in U.S. flash PMI data

Gold prices are off their session lows but still stay under pressure even as opinion in the manufacturing and service industries has improved more than expected.

Friday, IHS Markit stated its flash U.S. manufacturing Purchasing Managers Index for August rose to a reading of 53.6 up from July's reading of 50.9. The data had been better than anticipated. Economists were expecting to find that a reading of 51.9.

The report said that belief in the U.S. manufacturing industry is at its greatest level in 19 months.

At precisely the exact same time, the company's service sector PMI studying rose to 54.8, up from July's reading of 50. Economists were calling the index to come in at 50.9. Sentiment at the service industry is at its greatest level in 17 months, the report said.

"August data pointed to some further improvement in business conditions across the private industry as customer demand picked up among both producers and service suppliers. Notably, the renewed increase in earnings among service industry companies was welcome news after five months of reductions," explained Siân Jones, an economist at IHS Markit from the report.