Gold inches away from an almost five-month low
Metal is slightly stronger as traders turn their attention to the outcome of the Federal Reserve’s policy meeting
Bengaluru — Gold was slightly higher on Tuesday, just up from its lowest in nearly five months in the previous session, and ahead of the start of a two-day US Federal Reserve meeting. Spot gold rose 0.2% to $1,244.30/oz by 3.50am GMT, after hitting its lowest since July 20 at $1240.10 on Monday. US gold futures fell 0.1% to $1,246/oz. “The overnight drop I suspect is continued long liquidation as evidenced in the weekend’s Commitment of Traders Report” said Jeffrey Halley, senior market analyst with Oanda. Commodity Futures Trading Commission (CFTC) data from Friday showed speculators sharply cut their net long positions in gold to the lowest since early August due to recent price weakness. “I would expect gold to remain offered on any rally and … to retest its overnight lows around $1,240,” Halley said, adding that a hawkish statement on US interest rates from the Federal open market committee could see gold under further pressure. The dollar was steady near a recent two-week high ...
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