Gold prices steadied 1% on Friday following a rebound in the previous session which was fuelled by a retreat in the US dollar. The Fed cut interest rates by 25 bps as widely expected this month.

Policymakers began taking stock of what could become a more complex economic landscape when Trump takes office next year though they see no "near-term" impact on monetary policy.For now, both inflation and interest rates are trending lower in a controlled way. Traders are currently pricing in another 25 basis point cut by the Fed in December, according to LSEG data.

Global physically-backed ETFs saw inflows for the sixth straight month in October, with year-to-date flows turning positive for the first time this year due to North American and Asian flows, the WGC said on Thursday.

China’s central bank refrained from purchasing gold for its reserves for the sixth consecutive month in October, according to official data. The share of gold in its reverses remained below the global average.

Bullion prices have surged about 33% this year, on track for the largest annual gain since 1979. But Trump’s presidency will pose a great challenge to the bull run as his policies are regarded as pro-dollar.

The yellow metal traded around the 2,700 level but remained above 50 SMA, so it is premature to call an end to its uptrend. The first hurdle lies at 2,750.

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