Gold prices globally dip slightly
The global gold prices ended slightly lower on Tuesday due to general weakness in the raw commodity sector.
Some chart consolidation was also seen following recent price gains that took gold prices to a fresh six-week high late last week.
The market place is also subdued ahead of some key central bank meetings this week, and the U.S. jobs report on Friday.
The December gold contract on the Comex division of the New York Mercantile Exchange settled at $1,617.00 an ounce, down $7.00 on Tuesday. Spot gold was last quoted down $8.10 an ounce at $1,614.80 per ounce.
Focus of the market place this week is on the two-day FOMC meeting of the U.S. Federal Reserve, which started Tuesday morning and ends Wednesday afternoon, and the European Central Bank’s policy meeting and press conference on Thursday.
The Bank of England also meets to discuss its monetary policy, with results on Thursday. Market watchers will be closely scrutinizing these central bank meetings for any fresh clues on the implementation of quantitative easing of monetary policies.
The ECB is expected by many to announce a fresh monetary stimulus package. Such would be at least initially bullish for many markets, including the precious metals.
After the batch of central bank meetings are out of the way, focus of the market place will quickly turn to the U.S. employment report on Friday morning.
In overnight news, there was more downbeat EU economic data released, as the unemployment rate in the EU rose to above 11%--its highest level since EU record-keeping began in 1995.
Tuesday is the last trading day of the month, which makes it a more important day from a technical standpoint.