Black Friday is Now! Don’t miss out on up to 60% OFF InvestingProCLAIM SALE

Gold prices down in Asia as investors more assured of Fed rate hike

Published 12/06/2015, 06:22 PM
Updated 12/06/2015, 06:26 PM
Gold prices dip in Asia
XAG/USD
-
HG
-
SI
-

Investing.com - Gold prices dipped in Asia on Monday with little regional data to drive sentiment and investors now more assured of a Federal Reserve rate hike this month after U.S> jobs data last week.

Gold for February delivery on the Comex division of the New York Mercantile Exchange fell 0.123% to $1,084.40 a troy ounce.

Also on the Comex, silver futures for March delivery dipped 0.21% to $14.500, while copper futures eased 0.21% to $2.072 a pound.

In the week ahead, investors will be looking ahead to Friday’s U.S. data on retail sales and inflation for fresh indications on the strength of the economy. Markets will also be watching a raft of Chinese economic data, including a report on the trade balance as well as data on consumer price inflation.

On Monday, Bank of England Governor Mark Carney is to testify before the European Parliament Committee on Economic and Monetary Affairs, in Brussels.

Last week, gold prices soared more than $20 to hit a three-week high on Friday, despite data showing the U.S. economy created more jobs than expected in November.

The Labor Department reported that the U.S. economy added 211,000 jobs last month, beating expectations for 200,000. The unemployment rate held steady at 5.0%, matching forecasts.

The robust data solidified expectations that the Federal Reserve will hike interest rates for the first time since 2006 at its upcoming meeting on December 15-16. Investors widely expect the central bank to raise rates later this month, but anticipate the pace of increases to be gradual, boosting gold.

Market players also reacted to OPEC's decision on Friday to leave its production ceiling unchanged at a contentious meeting in Vienna. As a result, crude prices are expected to remain stubbornly low amid a glut of oversupply on global energy markets.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.