Investing.com - Gold futures edged lower on Monday, but losses were limited amid heightened expectations that the Federal Reserve will stick to its easy money policies for some time to come.
On the Comex division of the New York Mercantile Exchange, gold futures for December delivery traded at USD1,284.80 a troy ounce during European morning trade, down 0.2%.
Comex gold prices traded in a range between USD1,284.20 a troy ounce, the daily low and a session high of USD1,289.00 a troy ounce.
The December contract ended 0.09% higher on Friday to settle at USD1,287.40 a troy ounce.
Gold futures were likely to find support at USD1,265.00 a troy ounce, the low from November 13 and resistance at USD1,313.30, the high from November 8.
Weaker-than-expected U.S. economic data on Friday rekindled expectations that the Fed will delay plans to taper its stimulus program in the near-term.
The Empire state manufacturing index fell to -2.21 from 1.52 in October. Economists had forecast a rise to 5.0.
A separate report showed that U.S. industrial production fell 0.1% in October, after rising by 0.7% in September, compared to expectations for a 0.2% increase.
The data came a day after testimony from Federal Reserve Vice Chairwoman Janet Yellen was seen as cementing the view that the bank will keep its USD85 billion-a-month asset purchase program in place until early next year.
Gold traders will be closely watching Wednesday’s minutes of the Fed’s most recent policy setting meeting. The U.S. is also to release data on retail sales and consumer prices later in the week.
Gold prices are down approximately 24% this year on concerns the Fed would begin cutting back its easy-money policy by trimming its USD85-billion monthly bond purchases.
Elsewhere on the Comex, silver for December delivery shed 0.35% to trade at USD20.65 a troy ounce, while copper for December delivery inched down 0.25% to trade at USD3.163 a pound.
