FX.co ★ Gold Futures Settle Flat After Moving In Tight Range

Gold futures ended flat on Wednesday as the dollar recovered from recent losses and firmed against most of its major counterparts.

The dollar index climbed to 100.54 in the New York session, gaining about 0.6%. However, its pared some gains subsequently and was last seen at 100.30, still notably up by about 0.36%.

The dollar strengthened in the backdrop of the U.S. retail sales reading for May being revised higher. The revision triggered speculation over whether the euphoria over a Fed pause or pivot was actually warranted.

Gold futures for August settled at $1,990.30 and ounce, unchanged from the previous close, after moving between $1,984.10 and $1,993.00 an ounce.

Silver futures for September ended up $0.131 at $25.387 an ounce, while Copper futures ended lower by $3.8140 per pound, losing $0.0155.

Monetary policy decisions by the Federal Reserve, the European Central Bank and the Bank of England are due in the coming weeks, which added to the bearish sentiment for the yellow metal.

The CME FedWatch tool currently shows a 99.8% probability for a rate hike of 25 basis points in the review due on July 26. A 14% probability is however seen for another rate hike in September.