Gold sinks to five-year low

AFP, LONDON: The price of gold collapsed this week close to five-year lows, punished by mounting speculation of a US Federal Reserve rate hike later this month.
Gold nosedived to $1,046.43 per ounce, touching the lowest level since early February 2010, as the stronger dollar dented demand.
Upbeat non-farm payrolls data on Friday reinforced expectations of a December 16 Fed rate increase, dealers said.
“Gold has been taking a hammering on increasing expectations of a December rate rise in the United States,” Sucden analyst Kash Kamal told AFP.
The US economy pumped out 211,000 new jobs in November, the Labor Department said, a solid figure that supports the Fed starting to raise rates this month.
“This number just solidifies the rate hike for December and therefore gives us the down side on gold that I expect in the medium term,” said analyst James Hughes at trading firm GKFX.

Gold sinks to five-year low

AFP, LONDON: The price of gold collapsed this week close to five-year lows, punished by mounting speculation of a US Federal Reserve rate hike later this month. Gold nosedived to $1,046.43 per ounce, touching the lowest level since early February 2010, as the stronger dollar dented demand. Upbeat non-farm payrolls data on Friday reinforced expectations of a December 16 Fed rate increase, dealers said. Gold has been taking a hammering on increasing expectations of a December rate rise in the United States, Sucden analyst Kash Kamal told AFP. The US economy pumped out 211,000 new jobs in November, the Labor Department said, a solid figure that supports the Fed starting to raise rates this month. This number just solidifies the rate hike for December and therefore gives us the down side on gold that I expect in the medium term, said analyst James Hughes at trading firm GKFX.