Oct 9 (Reuters) - Gold eased on Thursday, as investors
booked profits a day after bullion breached the crucial
$4,000-per-ounce level to hit a record high on economic and
geopolitical uncertainties and hopes of additional U.S. interest
rate cuts.
FUNDAMENTALS
* Spot gold fell 0.4% to $4,021.99 per ounce as of
0117 GMT, after hitting a record high of $4,059.05 on Wednesday.
* U.S. gold futures for December delivery fell 0.7%
to $4,042.60.
* Federal Reserve officials agreed that risks to the U.S.
job market had risen enough to warrant a rate cut, but remained
cautious amid persistent inflation and debate over how much
borrowing costs are weighing on the economy, minutes of the
September 16-17 meeting showed on Wednesday.
* Markets are pricing in an additional 25-basis-point cut
each in October and December, with probabilities of 95% and 83%,
respectively, per the CME FedWatch tool.
* Non-yielding gold thrives in a low-interest-rate
environment and during economic uncertainties.
* Markets this week have grappled with political turmoil in
Japan and France alongside an ongoing U.S. government shutdown,
all of which have done little to stoke confidence in investors,
who have sought safety in gold.
* Gold has climbed 54% year-to-date on strong central bank
buying, increased demand for gold-backed Exchange-Traded Fund
(ETFs), a weaker dollar and growing interest from retail
investors seeking a hedge amid rising trade and geopolitical
tensions.
* SPDR Gold Trust, the world's largest gold-backed
ETF, said its holdings rose 0.14% to 1,014.58 tonnes on
Wednesday from 1,013.15 tonnes on Tuesday.
* Elsewhere, spot silver added 0.1% to $48.91 per
ounce, after hitting an all-time high of $49.57 on Wednesday.
Platinum slipped 0.7% to $1,650.60 and palladium
dropped 1% to $1,435.25.
DATA/EVENTS (GMT)
0900 Germany Overall Comprehensive Risk Q4
0900 France Overall Comprehensive Risk Q4
0900 UK Overall Comprehensive Risk Q4
(Reporting by Brijesh Patel in Bengaluru; Editing by Sumana
Nandy)
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