Gold fell on Friday as the dollar rose after U.S. economic data came in within analysts' expectations, cementing assumptions of an interest rate increase by the Federal Reserve by year-end.
Gold prices are relatively unchanged following the release of comments from Fed Chair Janet Yellen. However, some analysts are noting that her comments reflect her dovish monetary policy bias. She noted in her comments that future monetary policy may want to be extra accommodative during recoveries. She also noted that forward guidance may be needed again by central banks.
Adam Button, currency analyst at Forexlive.com, said that from Yellen’s comments one could extrapolate that she would prefer to wait to raise interest rates, but “but I think that's going to far.”
A slight majority of the respondents to the weekly Kitco News gold survey look for the precious metal to keep working its way higher next week.
Seventeen analysts and traders took part this week’s Wall Street poll. Nine participants, or 53%, called for gold to rise next week. The other eight votes were evenly split between sideways and lower, with four, or 24%, for each camp.
Meanwhile, 853 Main Street participants submitted votes in an online survey. A total of 464 respondents, or 54%, said they were bullish for the week ahead, while 239, or 28%, were bearish. The neutral votes totaled 150, or 18%.
Last week, 78% of Wall Street participants expected gold to rise and 57% of Main Street participants were bullish. As of 11:41a.m. EDT, Comex December gold was up from the previous Friday's close by a modest $2.70 for the week to $1,254.60 an ounce.
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