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The gold price today has slipped about $9.60 to $1,066.30 an ounce. Gold is headed to end 2015 down about 10%.
Now that the year's most anticipated financial announcement – a U.S. Federal Reserve rate hike – is history, it's time to look at what's ahead for gold prices in 2016.
Contrary to what most expected, the gold price held steady after the Fed rate hike. Is that a sign of support for gold into 2016?
Let's take a look…
Recent Gold Price Activity
After the wild gyrations in the gold price in the days before, during, and after the rate hike, we continued to see a bit more of the same.
On Monday, Dec. 21, when oil futures actually dipped below $35, the gold price sank from $1,072 just before 8 a.m. to $1,067. The gold price ended up consolidating around the $1,078 level, where it ended the day.
Tuesday, Dec. 22, saw the S&P 500 close up about 11 points. But there was a bit more weakness for gold, which – for the most part – worked its way down steadily throughout the day from $1,078 to close near $1,072.
That followed through on Wednesday, as gold worked slightly lower from $1,072 to $1,070 by day's end. Traders were seduced instead by the S&P 500, which continued its climb higher from the previous day. It gapped higher at the open, at 2,051 to close at 2,064.
And here's what the action looked like in the U.S. Dollar Index over the past week:
About the Author
Peter Krauth is the Resource Specialist for Money Map Press and has contributed some of the most popular and highly regarded investing articles on Money Morning. Peter is headquartered in resource-rich Canada, but he travels around the world to dig up the very best profit opportunity, whether it's in gold, silver, oil, coal, or even potash.