Gold prices dropped for the second day in a row on Friday as gains in European equities reduced investor demand for a safe haven, Bloomberg reported.
According to Bloomberg, gold for December delivery dropped 0.3 percent to $1,237.60 an ounce by 7:24 a.m. on the Comex in New York. Bullion reached $1,250.30 on Oct. 15, the highest since Sept. 11, and is up 1.3 percent this week. Gold for immediate delivery fell 0.1 percent to $1,237.23 in London, according to Bloomberg generic pricing. Because the U.S. dollar saw little change on Friday, the gains in European equities may have been the only substantial force driving gold down.
As the Binary Tribune reported, this may be a quick respite for the precious metal's price, which has dropped this year. Signs of a global economic slowdown with Europe as the main culprit concerned investors. This forced assets such as equities lower and investors looking for a haven. While European equity prices have seen an uptick today, investors will likely stand pat due to ongoing expectations for an economic slowdown in Europe and the rest of the world.
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