Gold held its recent decline as traders followed efforts to advance diplomacy in the Middle East and awaited the outcome of the US midterm elections. Both developments could offer clues about the outlook for interest rates and American fiscal policy.
Bullion hovered around $3,930 an ounce after a modest retreat in the previous session. That followed a rise of almost 2% on Monday.
Gold’s price action has been uneven this week amid conflicting signals about progress in US-Iran talks. The uncertainty has also made it harder to assess how energy prices could affect inflation.
Sources: Bloomberg Markets.