Fed ratecut pause next month could subdue gold, ANZ says
Bullion hits highest level since Nov. 11
Putin issues warning to US with new nuclear doctrine
Nov 20 Reuters Gold prices eased from a oneweek high on Wednesday as the dollar strengthened, though safehaven demand linked to RussiaUkraine tensions helped cap further losses.
Spot gold was down 0.2 at 2,627.60 per ounce as of 1238 GMT, after hitting its highest level since Nov. 11 earlier in the session. U.S. gold futures were steady at 2,631.30.
The U.S. dollar rebounded after hitting a oneweek low. A stronger U.S. currency makes bullion more expensive for overseas buyers.
The current decline in gold can be attributed to profittaking and a stronger dollar, but developments in the RussiaUkraine situation are crucial and should be closely observed, said Zain Vawda, market analyst at MarketPulse by OANDA.
Russian President Vladimir Putin lowered the threshold for a nuclear strike in response to a broader range of conventional attacks, days after reports said Washington had allowed Ukraine to use U.S.made weapons to strike deep into Russia.
Meanwhile, several Federal Reserve officials are expected to speak this week, which could provide insights into the future path of interest rates. Traders see a 59.1 chance of a 25basispoint cut in December and a 40.9 chance of rates being held steady.
A December pause in Fed rate cuts could subdue the gold price, in the short term, but the easing monetary cycle, macroeconomic…