2019.07.1514:55:00UTC+00Gold Futures Edge Up, Settle At Near 2-week High

Gold futures edged up to close higher on Monday, after opening weak on mixed economic data out of China.

Optimism about the Federal Reserve announcing a rate cut later this month supported the yellow metal.

However, gains were just modest as equities found support and the dollar edged higher, limiting the appetite for the safe haven metal.

The dollar index advanced to 96.97, gaining about 0.16%, after a somewhat sluggish start.

Gold futures for August ended up $1.30, or 0.1%, at $1,413.50 an ounce.

On Friday, gold futures ended up $5.50, or about 0.4%, at $1,412.20 an ounce.

Silver futures for September ended up $0.129, at $15.365 an ounce, while Copper futures for September settled at $2.7110 per pound, gaining $0.0170.

Chinese GDP expanded 6.2% year-on-year in the second quarter, slower than the 6.4% growth registered a quarter ago. However, the economy grew 6.3% in the first half of the year, in line with expectations.

Meanwhile, June factory output and retail sales figures showed signs of improvement, offering some respite to investors worried about slowing global growth.

Annual growth in industrial production advanced more-than-expected to 6.3% from 5% in May, showing the fastest growth in three months.

Likewise, retail sales increased at a faster pace of 9.8% after rising 8.6% a month ago. Economists had forecast an 8.5% increase for June.

In U.S. economic news, a report released by the Federal Reserve Bank of New York showed that regional manufacturing activity rebounded in the month of July after having contracted unexpected a month earlier.

The New York Fed said its general business conditions index climbed to 4.3 in July from a negative 8.6 in June, with a positive reading indicating growth in regional manufacturing activity. Economists had expected the index to rise to a positive 2.0.

The bigger than expected rebound by the general business conditions index came after it recorded its first negative reading in over two years in the previous month.