Gold prices stable

BENGALURU. — Gold prices were stable yesterday as the US dollar held steady, with investors waiting for minutes from the US Federal Reserve's latest meeting for clues on the outlook for potential rate rises.

Spot gold was unchanged at $1 287,36 an ounce by 0709 GMT. US gold futures for December delivery eased 0,3 percent to $1 290,50 per ounce.

“Gold rose initially following on from its overnight rally, but this faded to leave it almost unchanged as early Asia buying petered out,” said Jeffrey Halley, senior market analyst at OANDA.

“Even news that the US had flown two B-1 aircraft over the Korean Peninsula failed to raise the market from its lethargy despite the dollar weakening slightly this morning.”

The US military flew two strategic bombers over the Korean peninsula in a show of force late on Tuesday, as President Donald Trump met top defence officials to discuss how to respond to any threat from North Korea.

“With North Korea relatively quiet and the Catalans choosing not to escalate the constitutional quagmire in Spain, gold gave up some of its safe-haven premium as we approached midday,” Halley said.

The dollar wavered yesterday, ahead of the release of the minutes from the Fed's September policy meeting later in the day, while the euro held firm as political tensions over Catalonia receded slightly.

“It just feels a little bit heavier (for gold) with what's going on with the dollar in Asia,” a Hong Kong-based trader said.

“It's probably going to be in the $1,280-1,300 range for the moment.”