2021.11.1809:23:00UTC+00Gold Edges Lower In Range-bound Trade

Gold prices edged lower on Thursday, but the downside remained capped as the U.S dollar slipped off a 16-month peak after a recent rally.

Spot gold dipped 0.2 percent to $1,863.93 per ounce, after having hit a fresh over five-month peak on Wednesday. U.S. gold futures were down 0.2 percent at $1,866.

The dollar rally stalled and the yield on the 30-year Treasury bond moved 2 basis points lower to 1.9713 percent, while Turkey's lira sank to a record low of near 11 to the dollar ahead of an expected interest rate cut by the central bank.

Chicago Federal Reserve President Charles Evans said at a virtual conference on Wednesday that the U.S. central bank will be mindful of inflation and it's going to take until the middle of next year to complete the wind-down of its bond-buying program.

The Bank of England is expected to act on interest rates at its December meeting after data showed British inflation hit a 10-year high.

The European Central Bank must be ready to rein in inflation in the euro zone if it proves more durable than forecast, ECB board member Isabel Schnabel said on Wednesday.