Gold fails to erase its sharp losses and continues to decline for the fifth session.
Gold prices recorded significant declines during early trading on Thursday, suffering losses for the fifth consecutive session; gold is trading near the level of $2,550 per ounce, in addition to the yellow metal dropping to its lowest level since September 19.
The losses in gold prices come amid the strength of the US dollar, which has bolstered the decrease in demand for gold priced in greenback, with the dollar index recording an increase of about 0.19% to 106.68 points.
Official data released yesterday showed a slow progress toward bringing prices back to lower levels, which may prompt the US Federal Reserve to hesitate regarding an interest rate cut cycle.
In the same context, Donald Trump's victory in the US elections has reinforced the downward momentum for gold prices in recent trading, as Trump plans to increase tariffs on imports; this could lead to a resurgence in inflation growth.
On another note, long-term US Treasury yields have risen significantly, as investor flows are shifting towards purchasing US Treasury yields at the expense of gold, which does not yield any return.
Regarding today's trading, spot prices for gold contracts fell by about 0.62%, losing around $16, bringing it to $2,557.30 per ounce, while at the same time, gold future prices for December delivery decreased by 0.93%, recording $2,562.35 per ounce.