Gold prices lose over $14 post Fed Reserve meeting

Gold prices fell on Thursday, after Federal Reserve Chairman Jerome Powell said the bank may start reducing asset purchases in November and finish the process by mid-2022.

The Fed meeting showed a split among members over whether it was appropriate to start raising interest rates next year, compared to its June expectations, which showed almost unanimity about not raising interest rates until 2023.

Gold futures contracts for December delivery fell by 0.8%, or by $14.30, to reach $1,764.50 per ounce at 09:35am Makkah time. Spot price for the yellow metal declined 0.2% to reach $1,763.89 per ounce.

Elsewhere, silver futures for December delivery fell 1.2% to reach $22.63 an ounce. Spot price for platinum delivery gained 0.4% to reach $1,004.14, while palladium declined by 0.8% to reach $2,021 per ounce.

The dollar index, which measures the performance of the US currency against a basket of six currencies, decreased 0.2% to 93.284 points - close to the highest level in a month.