Gold prices fell today amid investor caution ahead of the release of key US jobs and inflation data. This data could provide new clues about the expected policy of the US Federal Reserve (Fed) as the New Year approaches. Spot gold fell 0.3% to $2,289.17 per ounce by 04:50 GMT. US gold futures contracts fell 0.5% to $2,315.80.
As Elias Pivak, Head of Global Macroeconomics at Test Life, said: "We are very close to the previous peak of around $2,380 in mid-October. So the market is basically asking whether there is enough confidence for a rally, or if this is the level where the momentum starts to fade."
According to the CME FedWatch Tool, investors currently see a 76% probability that the Fed will decide to cut rates by another 25 basis points at its January meeting. The data expected this week is expected to provide new evidence on how quickly the Fed will ease monetary policy in 2026. It is worth noting that gold has jumped more than 64% this year, breaking several records to become one of the best-performing assets in 2025.
