Gold Trips into Two-Day Fed Meeting

Big 5

Gold on Tuesday struggled to keep positive ground extended heading into the two-day Fed meeting, as investors prepare for life after the bond-buying stimulus program.

At last check, gold for December delivery GCZ4, -0.09% rose 20 cents to $1,229.50 an ounce. December silver SIZ4, +0.43% added 8 cents to $$17.18 an ounce.

A day earlier, gold put together back-to-back losses after showing signs of life last week amid mounting concerns over Ebola and an stock market bent on churning out gains.

Eugen Weinberg of Commerzbank said he believes gold is on “shaky footing” after speculators recently ran up their net long positions to their highest level in seven weeks.

The Fed meeting isn’t the only developing story on the economic front. Durable goods numbers hit at 8:30 a.m. Eastern followed by the S&P/Case-Shiller house price index for August 30 minutes later.

Elsewhere in metals trading, January platinum PLF5, +0.29% and December palladium PAZ4, -0.06% both weakened a bit while high-grade copper for December delivery HGZ4, +0.49% managed to hold steady.

Source: Bloomberg

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