Gold futures fell for the second straight day amid speculation that the Federal Reserve will raise interest rates as the U.S. economy gains momentum, crimping demand for the metal as an alternate investment.
Global holdings in exchange-traded products backed by gold have extended a slump to the lowest in five years, according to data compiled by Bloomberg. Yesterday, a poll showed Swiss voters will reject an initiative that would require the nations central bank to hold at least 20 percent of assets in the metal.
Gold futures for December delivery declined 0.3 percent to settle at $1,190.90 an ounce at 1:37 p.m. on the Comex in New York. Aggregate trading was 49 percent above the 100-day average for this time, according to Bloomberg data. Yesterday, the metal dropped 0.3 percent.
The cost of living in the U.S. was little changed in October, and jobless claims fell by 2,000 in the week ended Nov. 15, government reports showed today.