Gold prices hit first fall in 6 sessions after robust US GDP data

Gold prices ended lower today, Jan. 26, logging their first decline in six sessions after the release of stronger-than-expected US GDP data ahead of the Federal Reserve’s monetary policy meeting on Jan. 31-Feb. 1.

During the past five sessions, the yellow metal’s prices advanced to their highest levels in nine months, buoyed by a weaker US dollar amid speculations for slower monetary policy tightening by the Fed.

Today's data showed that the US gross domestic product (GDP) grew at a robust 2.9% annual pace in the fourth quarter of last year, surpassing estimates of 2.8%.

Investors are waiting for the Fed's meeting next week, amid expectations that the central bank will dial down the pace of interest rate hikes to 25 basis points (bps).

In terms of trading, gold for February delivery plunged by 0.7%, or $12.60, closing today’s session at $1,930 an ounce.

Meanwhile, the US dollar index, which gauges the greenback's strength against a basket of six currencies, increased 0.2% to 101.863 points at 9:53 pm Makkah time.