WASHINGTON (dpa-AFX) - Gold prices again declined on Friday after recouping a major portion of Wednesday's losses on Thursday. The price movement came amidst a firm dollar and uncertainty ahead of the looming presidential elections in the U.S. as well as the upcoming monetary policy review by the Federal Reserve.
Rising predictions of a Trump presidency as well as geopolitical tensions in the Middle East also swayed sentiment for the yellow metal.
The CME FedWatch tool reveals that markets continue to overwhelmingly expect another Fed rate cut in November, with a 95.6 percent probability for a 25 basis points cut and a 4.4 percent probability for a status quo.
Gold Futures for December settlement has slipped 0.40 percent to trade at $2,737.90, versus the previous close of $2,748.90. The day's trading range has been between $2,729.40 and $2,748.80 as compared with the 52-week trading that ranged between $1,948 and $2,772.60.
Spot Gold slipped 0.38 percent to trade at $2,725.64 per troy ounce. The day's trading range has been between $2,717.18 and $2,736.17. Spot Gold had ranged between $1,931.73 and $2,758.54 over the past 52 weeks.
At current prices, Gold Futures and Spot Gold have both gained more than 37 percent over the past year.
On Wednesday, Gold Futures for December settlement had touched a record high of $2,772.60 and Spot Gold had touched an all-time high of $2,758.54 amidst unabated safe haven demand and expectations of further easing by the Federal Reserve.
Fed rate cut expectations were reinforced with the release of the Fed's Beige book on Wednesday. The commentary on current economic conditions across the 12 Federal Reserve Districts pointed to continued sluggishness in the U.S. economy. The report showed that economic activity was little changed in nearly all Districts since early September, though two Districts reported modest growth. Most Districts reported declining manufacturing activity.
Copyright(c) 2024 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2024 AFX News
