Overview
- Spot prices hovered around $3,940–$3,980 per ounce after a near 2% drop on Tuesday, with a modest bounce on bargain hunting and safe-haven interest as equities fell.
- The dollar held near multi‑week highs and odds of a December Fed rate cut eased to roughly 69%–71% from more than 90% before Chair Jerome Powell’s caution last week.
- With several U.S. government reports delayed by the shutdown, markets are leaning on ADP payrolls and ISM surveys this week for fresh policy signals.
- China reduced a long‑standing VAT exemption on some Shanghai exchange gold purchases to 6% from 13% effective November 1, curbing a tax advantage that had supported buying.
- Local markets reflected the slide, with Pakistan’s 24‑karat price down Rs3,500 per tola to about Rs420,362 and Indian MCX gold futures weaker on the firm dollar.