Gold Futures Rise as Traders Weigh the Fed’s Next Move
December gold futures advanced in Friday trading, while earlier spot prices dipped as investors assessed inflation and the outlook for interest rates.
Key takeaways
- December gold futures were up 0.9% as of 09:03 UTC Friday.
- Spot gold fell 0.4% in early Asia trading after gaining more than 1% in the previous session.
December gold futures rose 0.9% to $4,208.10 as of 09:03 UTC Friday, while investors weighed the Federal Reserve’s policy outlook. Spot gold had fallen 0.4% to $4,152.99 in early Asia trading, according to Reuters, after gaining more than 1% in the previous session.
Lower US Treasury yields and a weaker dollar had supported gold’s earlier advance. US producer prices rose by the most in 4½ years in September, Reuters reported, following a September consumer price report that showed prices accelerated.
Fed Chair Kevin Warsh offered no indication of whether further rate increases are needed, The Business Times reported. Higher interest rates can reduce the appeal of gold, which does not pay interest.
This article was produced with the help of AI technology. Based on reporting by the outlets listed above.
