Gold becomes cheaper on stronger dollar

Gold becomes cheaper on stronger dollar


December futures for gold on the new York stock exchange Comex became cheaper by 2.3 million, or 0.21%, to 1081,3 dollars per Troy ounce. The cost of December futures for silver fell by 0.12% to 14.21 per ounce.

MOSCOW, Nov 17. Gold prices decline on Tuesday amid the dollar strengthening to a maximum of 7 months due to expectations of rate increase by the fed in December, according to AFP.

As at 08.11 GMT December futures for gold on the new York stock exchange Comex became cheaper by 2.3 million, or 0.21%, to 1081,3 dollars per Troy ounce. The cost of December futures for silver fell by 0.12% to 14.21 per ounce.

The dollar index (the dollar against a basket of currencies of six major U.S. trading partners) rises 0.2% to 99,58 point, which is the highest mark for the last 7 months, as investors turned their attention from concerns after the terrorist attacks in Paris on the prospects for a base rate increase by the fed.

“We can say that the increase in the gold price because of strengthening demand for more reliable assets almost completely ended. Now, again, expectations of a rate hike by the fed open up a bearish Outlook for metal prices”, — quotes Agency Bloomberg opinion of analysts at Australia & New Zealand Banking Group Ltd.