Gold stabilizes at close as US bond yields gain ground

Gold bars 

Gold prices held steady at close today, Oct. 28, as US Treasury yields rose in anticipation of economic data on the US labor market and inflation that may help determine the next policy decision.

At the settlement, gold futures for December delivery stabilized at $2,755.9 per ounce, after contracting to $2,736.90 apiece in early trading.

The US dollar index, which gauges the greenback's strength against a basket of six currencies, remained unchanged at 104.31 points at 09:43 pm Makkah time, after climbing to 104.57 points earlier in the session.

Total gold demand fell 22% to 218 tons in the three months to September. This came amid a 29% slump in jewelry consumption to 130 tons and a 9% decline in bullion and coin consumption to 69 tons, data from the China Gold Council showed.

US policymakers are awaiting the release of the September reading of the Fed’s preferred inflation gauge on Thursday, a day before the October jobs report. All eyes are also on the results of the US presidential elections ahead of the Nov. 6-7 meeting.