Gold price trades near daily highs as U.S. Q2 GDP comes in well below expectations

(Kitco News) The U.S. economy grew less than expected in the second quarter, the U.S. Commerce Department said on Thursday.

The preliminary estimate showed that the U.S. second-quarter GDP rose 6.5% versus markets’ expectations of an advance of 8.5%. The first-quarter data was also revised down to 6.3% from 6.4% growth.

“The increase in real GDP in the second quarter reflected increases in personal consumption expenditures (PCE), nonresidential fixed investment, exports, and state and local government spending that were partly offset by decreases in private inventory investment, residential fixed investment, and federal government spending,” the report said.