Gold Falls 0.7% to $3,992.71 an Ounce as December Fed Rate Hike Odds Reach 75%

Gold traded lower on Friday and headed for a second consecutive monthly loss, pressured by rising crude oil prices and expectations of a Federal Reserve rate increase in December. Spot gold fell 0.7 percent to $3,992.71 an ounce after dropping more than 1 percent in the prior session. U.S. gold futures slid 0.7 percent to $4,001.87. Traders priced in about a 75 percent chance of a December rate hike, according to CME's FedWatch Tool, following a stronger September inflation reading. Consumer prices rose 3.6 percent year-on-year, the fastest since May, while the core PCE index climbed 3.1 percent. Third-quarter GDP grew at an annualized 3.4 percent, beating expectations, and jobless claims held near a 57-year low. Brent crude jumped nearly 2 percent toward $113 a barrel on Houthi attacks on Saudi infrastructure and fears of renewed U.S. strikes on Iran. The yen headed for a third daily gain after the Bank of Japan held rates but raised its inflation forecast.