Prices lost over $50 an ounce Thursday, but still gained for the month
Gold prices took an eye-catching hit on Thursday in posting their largest one-day decline since July - highlighting a complicated landscape for the precious metal that's littered with "push-and-pull" factors just ahead of a U.S. election that may lead it to a major "pivot point."
Thursday's drop in gold prices comes as a "sharp reminder of the delicate balance gold has to navigate," said Adam Koos, president and senior financial adviser at Libertas Wealth Management Group.
"With Treasury yields climbing, the appeal of safe-haven yields is putting real pressure on gold, especially as we're also seeing risk assets like stocks take a hit," he told MarketWatch. It's facing "typical 'push-pull'" factors given investors need liquidity, so even gold "isn't safe enough when the market's in risk-off mode." It's also "not yielding enough when bonds are on the rise," he added.
On Thursday, gold for December delivery fell $51.50, or 1.8%, to settle at $2,749.30 an ounce on Comex. Based on the most active contract, it marked the biggest daily dollar and percentage declines since late July, according to Dow Jones Market Data. Gold futures, which had settled just a day earlier at record-high settlement and intraday levels, ended the month with a 3.4% gain.
Source : MarketWatch
