Yahoo Finance Gold Prices Turn Lower After Hitting 5-Month Highs
Investing.com - Gold prices fell on Monday, turning lower after reaching their best level in five months on the back of expectations that the Federal Reserve will need to slow its pace of rate hikes next year.
Comex gold futures were down $2.10, or almost 0.2%, to $1,250.45 a troy ounce by 8:40AM ET (13:40 GMT), having earlier touched $1,256.60, the most since July 11.
Meanwhile, spot gold was trading at $1,245.10 per ounce, down $3.40, or around 0.3%.
The yellow metal notched its biggest weekly gain since August last week.
A fourth rate hike for this year is expected next week, but the road from there is unclear. While Fed policymakers have pointed to three increases in 2019, the market is only anticipating one.
Lower interest rates can give gold a lift as it decreases the relative cost of holding on to the metal, which doesn't offer investors any similar guaranteed payout.
Global financial markets will pay close attention to U.S. consumer price inflation and retail sales data this week for additional insight into the outlook for monetary policy in the months ahead.
In other metals action, silver futures were down 8.3 cents, or almost 0.6%, at $14.61 a troy ounce, while palladium gained 0.2% to $1,172.50.
Platinum dipped 0.1% at $789.70. Prices had slipped to their lowest since Sept. 12 at $779 in the previous session.
Elsewhere, March copper shed 1.8 cents, or 0.7%, to $2.741 a pound.
Markets will be keeping abreast of the ongoing trade spat between the United States and China amid growing doubts over whether the world's two largest economies will be able to resolve their differences.
U.S. Trade Representative Robert Lighthizer said on Sunday that trade negotiations between the two countries need to reach a successful end by March 1 or Washington will impose new tariffs.
-- Reuters contributed to this report
Related Articles
Oil Prices Slump on Profit Taking after OPEC Production Curb
Brent oil rises after deal to cut supply, but 2019 outlook weakens