Gold pauses retreat as investors lock in on Fed's Jackson Hole event
Shafaq News / Gold prices stabilised after a sharp retreat on Thursday, taking a firmer dollar in its stride as investors looked forward to the U.S. Federal Reserve's stance on tapering economic support at its Jackson Hole symposium.
Spot gold rose 0.1% to $1,792.01 per ounce by 1:38 p.m. EDT (1738 GMT). U.S. gold futures settled up 0.2% at $1,795.20.
Bullion slipped as much as 1.2% and below the key $1,800 mark on Wednesday as a stronger dollar dented its appeal.
Investors are keenly eying Fed Chair Jerome Powell's speech during Friday's symposium, on the heels of suggestions from St. Louis Fed President James Bullard that the U.S. central bank should end bond buying by early next year.
"The probability most people are looking at is that the Fed signals a stronger economy and some tapering in the next year or two years, and that's hanging over the gold market," said Jeffrey Christian, managing partner at CPM Group.
A Fed interest rate hike would dull bullion's appeal compared with interest-earning assets