Investing.com - Gold prices slid on Monday after the Jackson Hole, Wyoming, symposium wrapped up leaving markets expecting monetary policy to tighten in the U.S. while remaining loose in Europe and in Japan.
On the Comex division of the New York Mercantile Exchange, gold futures for December delivery traded at 1,278.70 a troy ounce during U.S. trading, down 0.12%, up from a session low of $1,276.50 and off a high of $1,282.10.
The December contract settled up 0.38% at $1,280.20 on Friday.
Futures were likely to find support at $1,258.00 a troy ounce, the low from June 17, and resistance at $1,304.90, the high from Aug. 18.
The Federal Reserve Bank of Kansas City's annual Jackson Hole symposium wrapped up over the weekend leaving investors preparing for diverging monetary policies across the globe.
While Fed Chair Janet Yellen left investors concluding stimulus programs will end around October and rates rising some time in 2015, her counterparts in Europe and Japan were seen sticking with more expansionary policies going forward.
Loose U.S. monetary policies such as three rounds of asset purchases, rock-bottom interest rates and dovish language have supported gold since the 2008 financial crisis by bolstering its appeal to a hedge against a weaker greenback.
Disappointing U.S. housing data did little to support gold on Monday.
The U.S. Commerce Department reported earlier that U.S. new home sales dropped by 2.4% to 412,000 units last month, confounding expectations for an increase of 5.7% to 430,000.
New home sales in June were revised up to 422,000 units from a previously reported 406,000 units.
Meanwhile, silver for September delivery was down 0.20% at $19.420 a troy ounce, while copper futures for September delivery were up 0.51% at $3.240 a pound.