Gold prices ease as fiscal talks continue

Gold prices ease as fiscal talks continue

Gold futures traded weaker on Wednesday as investors shied away from the market amid uncertainty over fiscal-cliff talks, though some commercial buyers in Southeast Asia were reportedly active at the lower prices.

Gold for February delivery fell $2.40 to $1,657.10 an ounce in electronic trade on the Comex division of the New York Mercantile Exchange.

At the start of the week, gold settled 60 cents lower at $1,659.50 an ounce, in Monday’s shortened trading session in New York ahead of the Christmas holiday.

Physical-gold trading in the U.S. is set to reopen later in the day, while Wall Street stocks will also trade after the Christmas Day holiday. Trading in London remained closed Wednesday for the Christmas break.

President Barack Obama plans to return early from his annual vacation to Hawaii in order to take part in talks to avert the fiscal cliff of austerity measures due to take effect at the start of the year, reports said late Tuesday. Read: Obama returning to DC early for fiscal-cliff talks