Gold Drops on Profit-Booking

2025-12-16 02:25 By Judith Sib-at 1 min. read

Gold dropped to $4,280 per ounce on Tuesday as investors took profits after prices hit a near two-month high in previous session, while awaiting the US non-farm payroll report later in the day for further clues on the Federal Reserve’s policy direction.

Retail sales figures and PMI readings are also set for release today, while November’s inflation data on Thursday will be closely watched.

Markets currently assign a 75.6% probability that the Fed will keep interest rates unchanged at its January meeting, although some expect two more rate cuts next year.

Prospects of a Russia-Ukraine peace deal have also dampened safe-haven demand for gold.

Still, the metal continues to benefit from strong central bank purchases, robust ETF inflows, and a shift by investors away from sovereign bonds and currencies.



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