Gold
retreated after the biggest one-day rally in more than a year as
investors weighed the outlook for a stronger dollar against a rebound in
oil prices. Silver, platinum and palladium dropped.
Bullion
for immediate delivery declined as much as 0.7 percent to $1,203.45 an
ounce, and traded at $1,205.47 at 8:55 a.m. in Singapore, according to
Bloomberg generic pricing. The metal rallied yesterday to $1,221.43, the
highest level since Oct. 30, after climbing from a three-week low of
$1,142.88 as some investors ended bets on lower prices.
Gold
advanced 3.8 percent yesterday, the most since Sept. 2013, as crude
recovered from a five-year low and the Bloomberg Dollar Spot Index fell
from the highest since 2009. The gauge of the U.S. currency remains 8.3
percent higher this year amid expectations that the Federal Reserve will
start to raise interest rates next year, hurting gold™s allure. Assets
in the SPDR Gold Trust, the largest exchange-traded product backed by
the metal, shrank 10 percent in 2014 to a six-year low.
Gold
dropped for a third month in November as the Fed assessed the timing of
rate rises, while other central banks added to stimulus, strengthening
the dollar. Policy makers at the European Central Bank and Bank of
England meet Dec. 4.
Source: Bloomberg
