Gold falls as the dollar rises

Gold prices fell on Friday and appeared to be poised for a third consecutive weekly loss as the dollar and Treasury yields rose after the Federal Reserve’s strong stance, while investors awaited US jobs data due on Friday.

Spot gold fell 0.2 percent to $1,873.75 an ounce by 0742 GMT, while US gold futures settled at $1,875.60.

The dollar headed for a fifth week of gains, while US Treasury yields were near their highest levels since November 2018.

Investors are now awaiting the US non-farm payrolls data for April to assess its impact on monetary policy. On Wednesday, the Federal Reserve raised interest rates by half a percentage point, the largest in 22 years.

Investors’ appetite for non-yielding gold tends to decline when interest rates rise.

For other precious metals, silver fell one percent to $22.28 an ounce, platinum fell three percent to $951.42 and palladium also fell three percent to $2123.95.