by Christopher Freeburn | December 17, 2013 4:44 pm
Rising expectations that the U.S. Federal Reserve will decide to curtail its monthly bond-buying — possibly as early as this month — sent gold lower in Tuesday trading.
The Fed will hold its Federal Open Markets Committee (FOMC) meeting this week. Fed officials have signaled that they could begin tapering stimulus as soon as the economy showed signs of strength. Recent economic reports have shown better-than-expected employment, manufacturing and retail sales data, though consumer confidence remains weak.
Gold futures for February fell 1.1% to $1,230.10 per ounce on Tuesday, according to CME Group. Gold traded as high as $1,247.60 and as low as $1,226.50. Bullion closed in London at $1,232, according to BullionVault.
Silver futures for March delivery sank 1.3%, to $19.84 per ounce. Tuesday’s high for silver was $20.23, while the low was $19.68.
Metal funds moved lower on Tuesday.
Mining ETFs faded during the day.
Gold stocks mostly retreated on Tuesday.
Silver mining shares mostly declined during the day.
As of this writing, Christopher Freeburn did not hold a position in any of the aforementioned securities. Adrian Ash of BullionVault contributed to this report.
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