Gold prices fell 0.6% to $2,604.49 per ounce on Monday as traders awaited fresh catalysts, including next week’s U.S. economic data that could influence the Federal Reserve’s interest rate outlook for 2025.
The metal has surged nearly 27% this year, reaching a record high of $2,790.15 on October 31, amid geopolitical uncertainty and U.S. rate cuts. Investors are seeking gold as a hedge against inflation and turmoil.
Next week’s data, including job openings figures, the ADP employment report, and the Federal Reserve’s December FOMC minutes, will provide insight into the health of the economy. The Fed’s cautious stance on further rate cuts has reduced the appeal of holding gold, but geopolitical tensions and a worsening U.S. debt situation are expected to fuel ongoing safe-haven demand.
Spot silver lost 1.3% at $28.98 per ounce, while platinum fell 1.5% to $905.62, hitting a three-month low on Friday. Palladium was down 1% at $902.16.
Source: https://www.reuters.com/markets/commodities/gold-edges-up-focus-shifts-incoming-trump-administration-2024-12-30