Gold eases after climbing over 1% in previous session
GLD•Spot gold fell 0.4% to $4,152.99 per ounce in early Asia trade after rising more than 1% in the previous session, and was on track for a weekly loss. December U.S. gold futures rose 0.1% to $4,173.90.
1. Gold prices dip
Spot gold fell 0.4% to $4,152.99 per ounce as of 0005 GMT on Friday, after gaining more than 1% in the previous session. The metal was on track for a weekly fall, while December U.S. gold futures rose 0.1% to $4,173.90.
2. Rate outlook in focus
Market participants were assessing the Federal Reserve’s future policy path after U.S. producer prices recorded their largest increase in 4-1/2 years in September. Traders priced in a 28% probability of a rate hike later this month and a 93% chance of an increase in December, according to CME’s FedWatch Tool. Chicago Fed President Austan Goolsbee called this week’s stronger-than-expected inflation data “discouraging,” while Cleveland Fed President Beth Hammack said the Fed might need to raise rates more aggressively if public inflation expectations deteriorate notably.
3. Other metals fall
Spot silver fell 0.6% to $57.09 per ounce, platinum lost 0.1% to $1,624.05, and palladium rose 0.2% to $1,128.70. All three metals were headed for weekly losses.
