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Gold falls in anticipation of interest rate hike

Xinhua,December 13, 2017 Adjust font size:

CHICAGO, Dec. 12 (Xinhua) -- Gold futures on the COMEX division of the New York Mercantile Exchange fell to a new five-month low on Tuesday amid anticipation of another interest rate hike.

The U.S. central bank's Federal Open Market Committee has kicked off a two-day policy meeting. It is widely expected to announce the third and final interest rate hike of 2017 on Wednesday.

The market is also looking forward to the Federal Reserve's guidance for 2018.

The U.S. dollar index, a measure of the dollar against a basket of other major currencies, rose 0.24 percent to 94.16 as of 1812 GMT.

Meanwhile, the Dow Jones Industrial Average climbed 155.01 points, or 0.64 percent to 24,541.04 points as of 1822 GMT. The S&P 500 also advanced further into record territory.

The dollar and equities typically move in opposite directions with gold, which means if the greenback and stocks go up, the safe-haven metal will fall.

As for other precious metals, silver for March delivery edged down 11.7 cents, or 0.74 percent, to settle at 15.668 dollars per ounce. Platinum for January fell 17.10 dollars, or 1.92 percent, to close at 875.70 dollars per ounce. Enditem