October, 1, 2018
Reuters - Gold prices dipped on Monday, with the dollar holding steady after marking a near three-week high in the previous session in the wake of the US Federal Reserve's plans last week for multiple interest rate hikes by 2020.
Fundamentals
Spot gold was down 0.2 per cent at $1,189.22 at 0111 GMT. The metal fell 0.8 per cent in September, marking its sixth straight monthly decline and longest monthly losing streak since January 1997.
On Friday, gold touched its lowest since August 17 at $1,180.34 an ounce.
US gold futures were down 0.3 per cent at $1,193.0 an ounce.
The dollar index was steady against a basket of major currencies, having touched its highest since Sept. 10 in the previous session.
The Fed raised interest rates last week and said it planned four more increases by the end of 2019 and another in 2020.
China will cut import tariffs on textile products and metals, including steel products, to 8.4 per cent from 11.5 per cent, effective Nov. 1, the finance ministry said on Sunday.
The Fed's point-person on the theory of how high to raise interest rates said on Friday that estimating this "neutral" level is getting more difficult and less relevant as the US central bank continues tightening policy.
Gold speculators raised their net short position by 2,923 lots to 77,313 lots, the largest in three weeks in the week to September 25, according to CFTC data.
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