Gold Prices Fall to Around $1,200 an Ounce

Gold prices were down Dec. 30 following the holiday last week. Signs of a global recovery also have diminished the precious metal’s allure, Reuters reported.

Spot gold prices hit a low of $1,200.79 an ounce earlier in today’s session. According to the source, gold is heading for a 30 percent loss for the year, which would be its biggest annual loss in more than three decades.

“What’s currently driving investors is the idea that commodities are out of fashion and equities are in demand,” Quantitative Commodity Research owner Peter Fertig told Reuters. “And, with low inflation pressures, there is still some downside risk for gold as long as the stock market remain relatively robust.”

Gold futures for February delivery on the Comex in New York dropped $9.63 to $1,204.30 an ounce, Investing.com reported. Earlier, gold prices hit a low of $1,200.30 an ounce.