Gold Falls to $1,198.50 Ahead of Holiday

Gold prices dipped slightly on Monday as investors continue to be concerned how the U.S. Federal Reserve’s stimulus tapering will impact the nation’s economy heading into 2014, Reuters reported. Participation in most markets is also weak as the Christmas holiday approaches.

Spot gold was down $3.59 to $1,198.50 an ounce, while gold futures for February delivery also fell $5.90 to $1,197.70.

Gold is on track for its largest annual loss in 32 years, Reuters reported.

Also putting pressure on gold today is new economic data that showed U.S. consumer spending was up in November to its fastest pace since June, MarketWatch reported.