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Gold Prices Slip Ahead of Fed Decision; Sino-U.S. Trade Worries in Focus

Published 30/10/2019, 04:41 pm
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Investing.com - Gold prices slipped on Wednesday in Asia as traders awaited the much-awaited Federal Reserve rate decision due later in the day.

The Fed is expected to cut rates for a third time in a row when it concludes its two-day meeting on Wednesday in the stateside.

Gold Futures for December delivery slipped 0.1% to $1,489.65 by 1:36 AM ET (05:36 GMT).

“In gold’s case, other than the 25-basis-point rate cut we’re expecting tomorrow, there’s very little to look forward to unless the Fed turns incredibly dovish in its outlook language,” said Philip Streible, commodities strategist at RJO Futures in Chicago.

“For now, there’s very little hope for a December cut, too, because many think the Fed is done here.”

On the Sino-U.S. trade front, Reuters cited an unnamed U.S. administration official who said a partial trade deal might not be completed in time for signing in Chile next month as previously expected.

Damage to overall market sentiment was limited asthe official added that the delay did not mean the accord was falling apart.

U.S. President Donald Trump said last week that a trade agreement with China was ahead of schedule, but did not provide more details.

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