Gold prices slip ahead of Fed meeting

Published on NewsOK Modified: June 17, 2014 at 2:55 pm •  Published: June 17, 2014
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Gold prices settled lower Tuesday amid expectations that the Federal Reserve will continue easing off its support for the economy.

Gold for August delivery fell $3.30 to settle at an even $1,272 an ounce.

The Fed began a two-day meeting Tuesday. When it wraps up, many analysts expect the Fed to announce another $10 billion cut to its bond-buying program, trimming its monthly purchases to $35 billion.

Gold prices have slumped 8 percent over the past year as the Fed has scaled back its bond purchases. Traders expect interest rates to creep higher, weakening the appeal of gold as an investment.

Other metals edged up slightly Tuesday. Silver for July rose two cents to $19.73 an ounce. Copper for the same month rose a penny to $3.06 a pound.

Platinum for July delivery rose $4 to $1,443.10 an ounce, while palladium for September gained $7.35 to $816.70 an ounce.

In crop trading, soybeans dropped 24 cents to $13.98 a bushel. Wheat rose a penny to $5.82 a bushel, while corn fell 2 cents to $4.39 a bushel.

In oil and gas trading, crude oil for July delivery fell 54 cents to $106.36 a barrel on the New York Mercantile Exchange.

In other energy futures trading on the Nymex:

— Wholesale gasoline rose 2 cents to $3.06 a gallon.

— Heating oil added 2 cents to $3.02 a gallon.

— Natural gas was essentially flat at $4.71 per 1,000 cubic feet.