Gold prices gain in early Asia as Indian festival season approaches

Shutterstock photo
Shutterstock photo

Shutterstock photo - - Gold gained in Asia on Thursday as India moves into the festive season of Diwali and fall weddings with the precious metal a traditional gift.

On the Comex division of the New York Mercantile Exchange, gold futures for December delivery traded at $1,249.90 a troy ounce, up 0.37%, after hitting an overnight session low of $1,244.60 and off a high of $1,258.50.

Overnight, gold prices inched up in cautious trading as investors snapped up nicely-priced positions in the commodity, though expectations that the Federal Reserve remains on track to hike interest rates sooner next year than once anticipated capped the precious metal's gains.

Gains were limited, however, as expectations for changing U.S. monetary policy within a year supported the dollar, which trades inversely with gold.

The dollar firmed on expectations that U.S. retail sales and consumer-sentiment reports will come in solid this Friday, while the Federal Reserve will conclude a two-day policy meeting next week winding down asset purchases and moving closer to hiking benchmark interest rates.

Silver for December delivery rose 0.19% at $18.962 a troy ounce. Copper futures for December delivery fell 0.01% at $3.113 a pound.

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