Gold prices dip on firm equities, focus shifts to Fed decision
While most Asian financial markets remain closed for a public holiday, attention shifts to the U.S. central bank interest rate decision announcement
Bengaluru - Gold prices eased on Wednesday on overnight gains in U.S. equities, with a May Day lull gripping most Asian markets ahead of a closely monitored Federal Reserve decision on the outlook for U.S. interest rates. Spot gold was down 0.3 percent at $1,278.92 per ounce at 0630 GMT, while U.S. gold futures fell 0.4 percent to $1,280.70 an ounce. Having been pressured earlier by slightly downcast findings from Chinese business surveys, global shares edged up on Tuesday after U.S. President Donald Trump agreed with Democratic leaders to spend $2 trillion on infrastructure. Potentially dulling appetite for gold as a safe-haven asset, China and the United States began their latest talks in Beijing on Wednesday aimed at ending a bitter trade war. "There is no need for inflation hedges in the gold market (given the strength in equity markets and economic data)," said Michael McCarthy, chief market strategist, CMC Markets. "However, the pulling back of the U.S. dollar from recent high...
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