Gold closes in red as US dollar spikes to 6-month high

Gold bars

Gold prices finished in the red today, Nov. 12, pressured by the rise in the US dollar and Treasury yields, as traders awaited the forthcoming US inflation data.

Gold futures prices for December delivery fell by 0.45% or $11.40, to end at $2,606.30 per ounce, the lowest level since the Sept. 18 session close ($2,598.60).

Likewise, spot prices also tumbled by 0.96% to $2,593.60 apiece. December silver contracts also plunged by 0.92% to $30.33 per ounce, in tandem with a 1.46% drop in platinum spot prices to $952.92 an ounce.

On the other hand, the US dollar index, which gauges the greenback's strength against a basket of six currencies, climbed by 0.45% to 106.03 points at 11:02 pm Makkah time, after touching 106.18 points in early trading — the highest since May 1 (106.49 points).

Former Federal Reserve policymaker Loretta Mester said the US central bank could cut next year interest rates less than anticipated, pressured by global tariffs proposed by President Donald Trump.

Markets are awaiting key US inflation data this week, with the US consumer price index due on Wednesday, a day before the producer price index report, in tandem with a speech by Federal Reserve Chairman Jerome Powell at an economic event.