Gold prices edge down-

Silver extends rally above $60

FE Team | Published: December 10, 2025 22:37:28

Gold prices edged down on Wednesday as investors awaited an expected interest rate cut by the US Federal Reserve and clues on its future policy, while silver extended its rally to new highs, reports Reuters.
Spot gold was down 0.3 per cent to $4,197.91 per ounce at 1243 GMT. US gold futures for February delivery inched 0.2 per cent lower to $4,226.40 per ounce.
Meanwhile, spot silver rose 0.6 per cent to $61/oz after hitting an all-time high of $61.61 earlier in the session, driven by rising industrial demand, declining inventories, and its designation as a critical mineral by the United States. The white metal has risen 112 per cent so far this year.
"Silver broke above the $60 per ounce mark, luring more short-term speculators and trend followers into the market. This also reflects the narrative of physical tightness in the silver market," said Julius Baer analyst Carsten Menke.
The Federal Open Market Committee (FOMC) is expected to announce its rate decision at 1900 GMT, and Fed Chair Jerome Powell is due to speak at 1930 GMT. Markets are assigning an 88 per cent probability to a 25-basis-point reduction.
"Gold is sort of range trading until we receive news from the FOMC ... what will move gold is not necessarily the cut in itself, but more about the guidance for the future," said Nitesh Shah, commodities strategist at WisdomTree, adding that higher Treasury yields were pressuring gold at the moment.
Benchmark 10-year US Treasury yields have risen to their highest in more than three months.
"During the past few weeks, the demand for gold from investors measured by holdings of physically-backed products was not as strong as for silver. We see this as the main factor holding back gold," Menke said.