Join our community of traders FOR FREE!

  • Learn
  • Improve yourself
  • Get Rewards
Learn More

Spot Gold retreated on Friday, slipping below the $2,700 mark, and looked set for a 1.70% weekly loss due to a stronger US Dollar and a rise in Treasury yields after Donald Trump’s victory in the 2024 presidential election.

“The gold market was waiting for a trigger to prompt some liquidation. There is some kind of uncertainty on the trajectory of U.S. rate cuts and that’s why we are seeing this pullback in gold,” Soni Kumari, a commodity strategist at ANZ, was quoted as saying by Reuters.

Gold plunged to a more than three-week low on Wednesday in the wake of Trump’s election win.

The yellow metal then regained certain ground on Thursday, surging 1.79%, after the Federal Reserve reduced borrowing costs at the conclusion of its two-day policy meeting.

The Fed cut its federal funds rate target range by 25 basis points to 4.50%-4.75% at its November meeting, as largely expected.

At the press conference following the FOMC policy decision, Fed Chair Jerome Powell abstained from providing specific guidance on future interest rate trajectory.

In regard to the December meeting, the Fed Chair said the central bank did not rule “out or in” a rate cut.

Powell pointed out the Fed was not on any pre-set course and it would keep making policy decisions on a meeting by meeting basis, while carefully assessing incoming data, the evolving outlook and the balance of risks.

Powell also noted the results of this week’s US presidential election were not likely to affect the Fed’s near-term policy path.

Markets are now pricing in about a 71% chance of another 25 basis point rate cut at the Fed’s December meeting.

As of 8:34 GMT on Friday Spot Gold was losing 0.57% to trade at $2,691.16 per troy ounce.

Gold Futures for delivery in December were edging down 0.37% on the day to trade at $2,695.70 per troy ounce.

TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover Forex, Price Action and Social Trading.

Related News

  • Movano Health announces $3.6 million public offeringMovano Health announces $3.6 million public offering Movano Health, a purpose-driven health care solutions firm, said on Wednesday that it had priced a $3.6 million underwritten public offering of 4,235,304 shares of its common stock.The offering price, prior to the underwriters' […]
  • Forex Market: NZD/CAD daily forecastForex Market: NZD/CAD daily forecast During yesterday’s trading session NZD/CAD traded within the range of 0.9232-0.9278 and closed at 0.9242, losing 0.09% for the day.At 8:50 GMT today NZD/CAD was losing 0.19% for the day to trade at 0.9243. The pair touched a daily low at […]
  • Forex Market: GBP/USD set to retest recent one-month lows as British economy contracts the most since 1979 in first quarterForex Market: GBP/USD set to retest recent one-month lows as British economy contracts the most since 1979 in first quarter GBP/USD retreated for a fifth straight trading day on Tuesday and was set to retest Monday's one-month low of 1.2252, after a report by the UK Office for National Statistics showed economy had contracted at the steepest quarterly pace […]
  • Oil prices down on reduced global economic growth outlookOil prices down on reduced global economic growth outlook Oil prices plunged on Thursday amid concern of reduced global demand as the World Bank reduced its forecast for global economic growth. According to its report, the global economy will expand 2.2% this year, less than its previous projections […]
  • Oil rallies on China data, supply disruptionsOil rallies on China data, supply disruptions Both West Texas Intermediate and Brent benchmarks surged in early European trade on Monday as an expanding services sector in China and persisting supply disruptions in North Africa and the Middle East supported prices. Gains however remained […]
  • Forex Market: EUR/CAD daily trading outlookForex Market: EUR/CAD daily trading outlook Yesterday’s trade saw EUR/CAD within the range of 1.3961 - 1.3815. The pair closed at 1.3883, up 0.14% for the day.At 07:26 GMT today EUR/CAD was down 0.32% for the day to trade at 1.3844. The pair held in a daily range of 1.3836 - 1.3927 […]