WASHINGTON (Alliance News) - Gold was extending losses for a second session Friday morning as the US dollar continued to recover from its recent losses versus a basket of currencies following the US Federal Reserve policy meet outcome.
Gold for December delivery, the most actively traded contract, lost USD8.40 to USD1,315.30 an ounce. Yesterday, gold shed nearly 2 percent as the dollar strengthened against some major currencies after the US Federal Reserve kept its quantitative easing program intact following a policy review meet. Although gold thrives on any hints of stimulus, investor concerns grew on speculative reports that the monthly bond buying program may be tapered down by the Fed earlier than expected.
Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, were unchanged at 872.02 tons.
Meanwhile, the US dollar continued to pare its recent losses against the euro, sterling, Swiss franc and the yen
In economic news, Switzerland's industrial growth slowed more-than-expected in October, following an improvement in the previous month, results of a survey showed on. The seasonally adjusted Purchasing Managers' Index fell to 54.2 from September's 55.3, the Credit Suisse said. Economists were looking for a modest decline to 55.2.
Growth in British manufacturing activity eased slightly in October, a survey by Chartered Institute of Purchasing & Supply and Markit Economics revealed. The purchasing managers' index, a gauge of manufacturing performance, fell to 56 in October from a downwardly revised reading of 56.3 in September.
Elsewhere, the prices of silver and platinum were trading mixed in morning deals.
From the US, Markit is due to release the results of its US manufacturing survey for October at 8:58 a.m. ET. The Institute for Supply Management is scheduled to release the results of its national manufacturing survey for October at 10 a.m ET. Economists expect the manufacturing index to come in at 55, down from 56.2 in September.
