Gold prices fall on Thursday

Gold dipped on Thursday as investors booked profits and awaited next week’s US Federal Reserve meeting for clearer signals on interest rates. Spot gold fell 0.5 per cent to $4,179.71 per ounce, while December US gold futures also declined 0.5 per cent to $4,210.20.

Markets are pricing in an 89 per cent chance of a 25-basis-point Fed rate cut, supported by Wednesday’s ADP report showing US private payrolls fell by 32,000 in November, the sharpest drop in over two and a half years. Analysts said any decline toward $4,000 could attract new buyers given gold’s strong fundamentals.

Silver slid 2.1 per cent to $57.22 after hitting a record $58.98 on Wednesday, with inventories in Shanghai remaining near multi-year lows. Platinum and palladium also fell, down 0.9 per cent to $1,640.30 and 1.4 per cent to $1,439.91, respectively.

Attribution: Reuters