Gold prices fell to their lowest in more than two years on Friday as robust U.S. economic data bolstered the case for a near-term interest rate hike by the Federal Reserve.Image Credit: Google
The most active gold contract for December delivery closed down 1.5 percent at $1,084.10 per troy ounceImage Credit: Google
On the Comex division of the New York Mercantile Exchange, after having earlier dipped to $1,082.10, a level not seen since June 28, 2013.Image Credit: Google
For the week, gold prices declined by 2.7 percent, marking their fourth consecutive weekly loss and putting them on track for their biggest monthly drop since January 2015.Image Credit: Google
The sell-off in gold gathered pace after data showed that U.S. consumer spending jumped by the most in eight months in September.Image Credit: Google
While inflation posted its biggest gain in five years.Image Credit: Google
The data added to evidence of an accelerating economy and helped shore up expectations for a Fed rate hike in December.Image Credit: Google
Higher interest rates tend to weigh on gold prices by increasing the opportunity cost of holding the non-yielding metal and making dollar-denominated assets more attractive.Image Credit: Google
However, it remains to be seen how successful Fidelity’s platform will be, as other firms have had mixed results with their own bitcoin trading services.
Meanwhile, a separate report showed that U.S. personal income and spending both rose in line with expectations in September.
Indicating that consumers remain confident despite an uptick in inflation.