Gold prices pared their gains during trading on Wednesday, September 25, after jumping to their highest level ever, coinciding with geopolitical tensions in the Middle East and following the statements of Federal Reserve officials regarding interest rates.
In terms of trading, December gold contracts settled at $2,679 per ounce, after recording $2,694.8 earlier in the trading.
Investors are pinning hopes on further Fed rate cuts, while traders are also watching China's latest monetary easing decisions.
The People's Bank of China this week unveiled a series of measures to support the slowing economy, including cutting reserve requirements and the medium-term interest rate, and supporting the real estate sector.
A number of Fed officials have made comments this week on monetary policy, with Fed member Michelle Bowman saying key inflation measures remain uncomfortably above the 2% target, calling for caution as rates are cut.
Meanwhile, investors are keeping an eye on geopolitical developments, with Israel launching airstrikes on Lebanon that have killed more than 500 people this week, along with hundreds more injured.
