Oct 31 (Reuters) – Gold prices fell on Friday, as the dollar firmed on uncertainty over further Federal Reserve rate cuts, although bullion was still on track for its third straight monthly gain.
Spot gold was down 0.4% at $4,005.54 per ounce, as of 0459 GMT. Bullion has gained 3.9% so far this month.
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U.S. gold futures for December delivery were steady at $4,018.10 per ounce.
“The Fed Chairman did have his hawkish cap on this week, which didn’t do gold any favours,” said KCM Trade Chief Market Analyst, Tim Waterer.
“The prospect of a rate cut in December now looks like it could be much more of a toss-up than was previously thought, which has boosted the dollar while making things a bit more complicated for gold from a yield perspective.”
Markets are now pricing in a 74.8% probability of a 25-basis-point cut from the Fed in December compared with a 91.1% chance a week ago, according to the CME Group’s FedWatch tool.
Elsewhere, spot silver was steady at $48.89 per ounce, platinum was flat at $1,610.75 and palladium climbed 1.5% to $1,466.42.
Reporting by Brijesh Patel in Bengaluru; Editing by Subhranshu Sahu and Mrigank Dhaniwala
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