Daily Gold Update

Source: Marketwatch

San Francisco— Gold futures closed lower Wednesday to tally a four-session loss of almost $40 an ounce as weaker oil prices and strength in the U.S. dollar against other major currencies dulled investment demand for the metal. Gold for December delivery dropped $3.10 to close at $883 an ounce on the New York Mercantile Exchange. It's trading at the lowest level since mid June. Gold futures have now lost $39.70, or 4.3%, from the $922.70 level the December contract closed at on July 31.

"The short-term trend remains down; however, gold's long-term fundamentals remain sound," Mark O'Byrne, a Dublin-based director at Gold and Silver Investments Ltd. After the close of regular gold trading Tuesday, the U.S. Federal Reserve kept interest rates unchanged at 2%, in line with market expectations. A policy statement from the Fed gave no sign that the central bank plans to shift policy in the foreseeable future. See full story.