Investing.com - Gold futures tumbled to a four-month low on Thursday, after minutes from the Federal Reserve’s most recent policy meeting indicated the central bank could start to taper its bond-purchasing program in the coming months.
On the Comex division of the New York Mercantile Exchange, gold futures for December delivery traded at USD1,245.20 a troy ounce during European morning trade, down 1%.
Comex gold prices fell to session low of USD1,242.70 a troy ounce earlier, the weakest level since July 9.
The December contract settled 1.22% lower on Wednesday to end at USD1,258.00 a troy ounce.
Gold futures were likely to find support at USD1,232.05 a troy ounce, the low from July 9 and resistance at USD1,275.70, the high from November 20.
According to the minutes of the Fed’s October meeting, policymakers said they could start scaling back the USD85 billion-a-month asset purchase program in the “coming months” if the economy continues to improve as expected.
Investors are now looking ahead to key U.S. economic data due later in the session to further gauge the strength of the economy and the need for further stimulus.
The U.S. was release data on producer price inflation, as well as the weekly report on initial jobless claims and data manufacturing activity from the Philly Fed.
Gold prices are down approximately 26% this year on concerns the Fed would start tapering its USD85-billion-a-month asset-purchase program by the end of the year.
Elsewhere on the Comex, silver for December delivery fell 0.75% to trade at USD19.90 a troy ounce, while copper for December delivery was little changed to trade at USD3.160 a pound.
On the Comex division of the New York Mercantile Exchange, gold futures for December delivery traded at USD1,245.20 a troy ounce during European morning trade, down 1%.
Comex gold prices fell to session low of USD1,242.70 a troy ounce earlier, the weakest level since July 9.
The December contract settled 1.22% lower on Wednesday to end at USD1,258.00 a troy ounce.
Gold futures were likely to find support at USD1,232.05 a troy ounce, the low from July 9 and resistance at USD1,275.70, the high from November 20.
According to the minutes of the Fed’s October meeting, policymakers said they could start scaling back the USD85 billion-a-month asset purchase program in the “coming months” if the economy continues to improve as expected.
Investors are now looking ahead to key U.S. economic data due later in the session to further gauge the strength of the economy and the need for further stimulus.
The U.S. was release data on producer price inflation, as well as the weekly report on initial jobless claims and data manufacturing activity from the Philly Fed.
Gold prices are down approximately 26% this year on concerns the Fed would start tapering its USD85-billion-a-month asset-purchase program by the end of the year.
Elsewhere on the Comex, silver for December delivery fell 0.75% to trade at USD19.90 a troy ounce, while copper for December delivery was little changed to trade at USD3.160 a pound.