The average price of gold eased by around 2½% in October, though the daily spot price generally strengthened over the second half of the month and is currently trading at around $1,340 per ounce. Gold is set to record its first annual price decline since 2000.
The NAB Quarterly Business Survey showed a marginal deterioration in overall business conditions in the June quarter, with the level remaining close to four year lows. All states experienced difficult conditions in the quarter.
The price of gold fell by a notable 4.3% in July, but has stabilised more recently, recovering by a modest 2.8% over August to date. Spot gold is currently around $1,380 an ounce. The price of gold will certainly record its first annual decline since 2000.
Expectations for the US Federal Reserve to begin tapering its $85 billion in monthly debt buying this year, a rising US dollar and a slowing Chinese economy have sent ripples through the gold market. The price of gold is now heading for its first annual decline since 2000.