Gold Prices Slip; Dollar Little Changed After Fed’s Comments

Monday,   19-Nov-2018   10:59 AM (IST)

Gold prices slipped on Monday, while the dollar was subdued against its rivals after Federal Reserve officials cautioned on the global economy.Gold futures for December delivery on the  Comex  division of the New York Mercantile Exchange edged down 0.3% at $1,219.1 a troy ounce.Meanwhile, The U.S. dollar index that tracks the greenback against a basket of other currencies edged up 0.08% to 96.4.Richard Clarida, the Federal Reserve’s newly appointed vice chair, expressed caution over the global growth outlook on Friday and said "that's something that is going to be relevant" for the outlook for the U.S. economy.Federal Reserve Bank of Dallas President Robert Kaplan also said in a separate interview with Fox Business that he expected a growth slowdown in Europe and China.Markets widely expect a fourth rate hike for this year next month and policymakers had earlier indicated two more by June 2019.Prospects of higher US interest rates are bad news for dollar-priced gold as they raise the opportunity cost of holding the bullion.Elsewhere, Brexit remained in focus after U.K. Prime Minister Theresa May said on Sunday that toppling her would risk delaying Brexit.