Gold Prices Slump Amid Fed Tightening Bets

Gold prices dropped by 0.3% to US$4,274.79 per ounce on Thursday due to expectations that the US Federal Reserve could tighten policy further.

US gold futures for December delivery also fell 0.2% to US$4,309.80.

Ross Maxwell, chief strategy officer of VT Markets, said investors are focused on the Fed's higher-for-longer stance following last week's rate increase and fluctuations in the US dollar and Treasury yields.

A clearer signal of another rate hike would pressure gold lower, according to Maxwell.