Gold goes up, but December rate lift expectations weigh
On Wednesday, gold futures tacked on during early Europe trading, though revenues were limited amid mounting hopes that the Federal Reserve will raise interest rates next month.
In New York, December delivery gold futures rose 0.25%, trading at $1,227.60 per troy ounce. Yesterday, the number one precious commodity reported a moderate revenue of 0.2%.
Market experts warned that the outlook for gold is still cloudy in the near-term. Gold prices are down more than 6% for the last week, amid optimism, that increased fiscal spending as well as tax cuts under a Trump administration will bolster economic growth and inflation, that would definitely generate an era of higher interest rates.
Market participants are currently pricing a 90.6% probability of a rate lift at the Fed's December 13-14 gathering.
Meanwhile, the US dollar hovered close to an 11-month peak against a basket of key currencies, backed by expectations of ascending rates.