Gold prices edged greater on Wednesday, helped with a mild pullback in the U.S. dollar however the rare metal continued to be near to four-month lows among growing expectations for any 2016 rate hike through the Fed.
Around the Comex division from the New You are able to Mercantile Exchange, gold futures for December delivery were up .09% at $1,275.15, near Friday’s four-month trough of $1,249.50.
The December contract ended Tuesday’s session .36% lower at $1,255.90 an oz.
Futures were prone to find support at $1,249.50 and resistance at $1,265.30, our prime from October 6.
Market participants were awaiting the minutes from the Fed’s September policy meeting for hints around the central bank’s future policy moves.
Gold is responsive to moves in U.S. rates, which lift the chance price of holding non-yielding assets for example bullion.
But interest in the U.S. dollar still continued to be broadly supported, because the odds for any December rate hike passed the 70% threshold on Tuesday.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was lower .13% at 97.59, near Tuesday’s seven-month peak of 97.75.
A more powerful U.S. dollar usually weighs on gold, because it dampens the metal’s appeal as a substitute asset and makes dollar-priced goods more costly for holders of other currencies.
Elsewhere in metals buying and selling, silver futures for December delivery acquired .42% to $17.582 a troy ounce, while copper futures for December delivery tucked .21% to $2.181 one pound.