Spot gold inched 0.1 percent lower to $1,220.97 per ounce at 0702 GMT.
U.S. gold futures were down 0.2 percent at $1,220.2 an ounce.
• Investors will hold steady until the minutes of the Federal Reserve meeting are released and more clarity emerges around the trade conflict leading into the G20 summit, said ANZ analyst Daniel Hynes.
“When these concerns have elevated, investors have tended to seek haven in the U.S. dollar itself rather than gold. It has been an issue plaguing the gold market for a while now,” Hynes said.
• The dollar index on Tuesday held gains and hovered near its highest level since Nov. 15.
• Investors also awaited Fed Chairman Jerome Powell’s speech and minutes from Fed’s Nov. 7-8 meeting, due later this week, which will likely indicate the pace of interest rate hikes in 2019.
• “Lack of movement in the spot price suggests that the market is cautious... I expect gold to remain supported above $1,207, with a weak tone,” said Nicholas Frappell, global general manager, ABC Bullion, Australia.
• Amongst other precious metals, spot silver was down 0.1 percent at $14.217 per ounce.
Spot platinum inched up 0.3 percent to $842.2 per ounce, while palladium rose 0.2 percent to 1,143.77 an ounce.
• Gold prices could push back to $1,350 an ounce in 2019 as the U.S. economy peaks, according to one French Bank.
In an interview with Kitco News, Bernard Dahdah, precious metals analyst at Natixis said that the bank is optimistic on the precious metals complex as uncertainty grips financial markets, limiting economic growth in 2019.
For 2019, the bank sees gold prices averaging the year at $1,275 an ounce, up more than 4% from current prices; December gold futures last traded at $1222.70 an ounce, relatively unchanged on the day.
Reference: Reuters, CNBC
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