Gold closes lower, shrugs off softer dollar

Gold fell today after after gaining for 3 sessions, shrugging off dollar decline, and after the market absorbed the US Federal Reserve decision.

After the Federal Reserve announced a 25bp rate cut to the range of 2.00% to 1.75%, the second decision of its kind in more than a decade since the global financial crisis, members were split over further cuts.

The US Federal Reserve cut interest rates yesterday by 25 basis points to between 2.00% and 1.75%, which is the second rate cut since 2008, while the members were divided on further rate cuts.

Fed Chairman, Jerome Powell stated that any further rate decisions will be based on the economic situation and developments, and said that the US economy and the labor market are still strong.

As of 18:32 GMT, the dollar index rose by 0.3% to 98.2 points, with an intraday high of 98.6 and a low of 98.2.

Gold futures (December delivery) fell by 0.6% or $9.60 to close at $1,506.2 an ounce, with a high of $1,512.1 and a low of $1,496.3.