Gold under stress after breaking under $1800 mark

Published on Dec 06, 2022 15:52

COMEX Gold futures slumped yesterday as a recovery in the US dollar and a tumble in crude oil prices led to a sharp slide in the metal. Traders booked profits after the commodity hit a five month high of $1822 per ounce. The metal lost nearly $40 per ounce and currently trades flat at $1784 per ounce. This was primarily led by a surge in the US dollar index that recovered back above 105 mark. WTI Crude oil futures also crashed, breaking under $80 per barrel mark and triggered a downbeat reaction in the broad commodities segment. For COMEX Gold, this turned out to be a highly negative set of variables and the metal saw accelerated losses once it broke under $1800 per ounce mark. With this slide, there is a possibility that the metal will likely see choppy action ahead of the upcoming US Fed monetary policy decision on December 15th 2022.