Gold traded near a five-month low, after the biggest one-day drop since October, as investors assessed whether the U.S. economy is strong enough to warrant a reduction in monetary stimulus.
Gold lost 27 percent this year, touching a 34-month low of $1,180.50 in June, on speculation the Federal Reserve will start paring its quantitative easing program that drove a 12th annual advance in 2012. Data showed yesterday that while U.S. manufacturing unexpectedly accelerated in November at the fastest pace in more than two years, retail spending fell on the weekend after Thanksgiving for the first time since 2009.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.