Wednesday saw a decline in gold prices as the dollar strengthened and investors waited for additional information on the extent of a possible September rate decrease ahead of this week’s important U.S. inflation data.
By 0313 GMT, spot gold had dropped 0.4% to $2,514.11 an ounce. On August 20, gold reached a record high of $2,531.60.
At $2,549.00, US gold futures were down 0.2%.
The dollar index increased by 0.1%, making gold less appealing to holders of foreign currencies.
The market appears to be waiting for a spark to ignite a possible bullish breakout over the $2,532 line, according to senior market analyst for Asia Pacific at OANDA Kelvin Wong.
Gold’s short-term trend is still very strong and could reach new heights. Longer time, resistance can be encountered.
