The gold price was already looking weaker ahead of the US GDP data, with the result that there were no further price falls following publication of the figures. The firmer US dollar also prevented any recovery movement, however. Gold is trading at around $1,080 per troy ounce as the week comes to an end.



Finding support from the appreciating US currency, gold in euro terms briefly exceeded the €1,000 per troy ounce mark yesterday, though it is trading €15 below it again this morning. The US economy grew by 2.3% in the second quarter, primarily on the back of increased consumer spending.



"This is likely to confirm the US Federal Reserve's impression of a moderate economic recovery, meaning that it will remain on course to increase interest rates before the year is out. When exactly it will implement rate hikes will probably now depend above all on the next labour market reports", says Commerzbank.



The ongoing ETF outflows are continuing to weigh on the gold price. The gold ETFs tracked by Bloomberg recorded their eleventh consecutive daily outflow yesterday. The situation for platinum and palladium is quite different, they saw ETF inflows of 19,000 and a good 38,000 ounces respectively yesterday.



Holdings in platinum and palladium ETFs have been increased by 115,000 and 52,000 ounces respectively since the beginning of the month. Without these inflows, platinum and palladium prices would doubtless be significantly lower.