Gold gains on softer oil prices ahead of Fed meeting
GLD•Spot gold rose 1.1% to $4,060.56 an ounce as lower oil prices supported the metal ahead of the Federal Reserve meeting. Traders priced in an 83% probability of a US rate hike in December.
1. Gold prices rise
Spot gold gained 1.1% to $4,060.56 per ounce by 12:07 p.m. ET, after earlier falling to $3,987.14. US gold futures for December delivery rose 0.9% to $4,074.40. A metals strategist said softer oil prices could ease inflation concerns and moderate expectations for Fed policy.
2. Rates and other metals
Fed policymakers have signaled they will not raise short-term borrowing costs this week, while investors expect a December hike with inflation concerns persisting. Investors are also awaiting US Personal Consumption Expenditures data due Thursday. Silver rose 0.9%, platinum gained 0.4% and palladium fell 1.8%.
