Gold drops below $1,200 in 5th losing session

Gold was headed toward its fifth-straight losing session on Tuesday, failing to move higher even as the global climate continues to breed the kind of uncertainty that usually provides a tailwind for the precious metal.

At last check, gold for February delivery GCG5, -0.90% dropped $8.70, or 0.7%, to $1,196.80 an ounce, while March silver SIH5, -2.49% sank another 38 cents, or 2.3%, to $16.18 an ounce.

Gold and oil prices have been moving in tandem recently, though the two diverged overnight as crude CLF5, -1.48% moved fractionally higher.

Housing starts for November will be released at 8:30 a.m. Eastern, with analysts looking for an improvement to an annual pace of 1.04 million. Then, on Wednesday, traders will get a look at the Fed’s new policy statement and updated economic forecasts, followed by a press conference with Chairwoman Janet Yellen. Read: Economic Preview.

“Overall, the markets are just consolidating around these levels and doing very little meaningful,” said David Govett of Marex Spectron. “This week sees the last FOMC meeting of the year and ahead of this, I suspect the markets will trend sideways to slightly lower as we await any mutterings of rate rises.”

In other metals trading, January platinum PLF5, -0.38% lost $2.20, or 0.2%, to $1,212.50 an ounce, while March palladium PAH5, -0.47% slumped $2.40, or 0.3%, to $800.15 an ounce. High-grade copper for March delivery HGH5, -0.35% held steady at $2.87 a pound.

Source: MarketWatch