GOLD DIPS AS DOLLAR STRENGTHENS, BUT WEEKLY GAIN INTACT

Published on Dec 13, 2024 14:35

Gold edged lower near $2700, extending its slump from the previous session as a surging US dollar weighed on sentiment. Markets have largely priced in a 25bps rate cut by the Fed next week, but November`s hotter-than-expected US factory gate prices stoked inflation fears. Meanwhile, initial jobless claims hit a two-month high, signaling potential cracks in the labor market. Dovish moves by global central banks, including cuts by the SNB, ECB, and BoC, along with the BoJ`s cautious stance had little impact on bullion. Despite the dip, gold remains on track for a solid 2% weekly gain, with the weekly range of $2705-2659 ie. $112. Whereas MCX gold dipped to Rs 77527, down Rs 442 per 10 grams.