Gold prices slip despite US monetary easing bets

Gold bars

Gold prices turned down today, Dec. 16, despite expectations of a Federal Reserve rate cut in the forthcoming December meeting and the US dollar's momentum easing.

February gold futures shed 0.18%, or $4.70, to $2,671.10 per ounce at 10:45 am Makkah time. However, spot prices climbed by 0.26%, or $6.95, to $2,655.34 an ounce.

Elsewhere, March silver futures climbed by 0.12% to $31.06 per ounce, while platinum spot prices fell 0.39% to $923.30 an ounce.

The yellow metal’s negative performance came despite the 0.15% pullback in the US dollar index, which gauges the greenback's strength against a basket of six currencies, to stand at 106.84 points, after touching 106.98 in early trading.

The Federal Reserve is widely anticipated to cut key interest rates by 25 basis points (bps) at its meeting scheduled to be held on Dec. 17-18, signaling the possibility of profit-taking by investors in the bullion market.

All eyes are on the quarterly outlook report by members of the Federal Open Market Committee on inflation and economic prospects, slated to be issued after this week's policy meeting, to obtain more cues about the expected path of monetary policy in 2025.