Gold Falls to $1,319.50 an Ounce as Shutdown Drags On

Gold prices took a hit Oct. 8, after rising in the previous session. Spot gold was down $3.40 to $1,319.50 an ounce, Kitco News reported. Gold futures for December delivery on the COMEX in New York also fell $6.90 to $1,317.90 an ounce.

The lack of progress on a US budget deal and the continued government shutdown is weighing on the metal and markets overall. While gold rose yesterday because of safe-haven demand, some say gold has lost that haven because the metal has been in a technical downtrend for months now, Kitco reported. The source said the market is likely feeling “U.S. government dysfunction fatigue.”

Gold is headed for its first annual drop in 13 years, Bloomberg reported.