Gold declines as hopes of a US rate cut recede

Gold prices fell on Monday as hopes for an early US rate cut this year receded, while focus turned to the Federal Reserve’s monetary policy meeting and the US non-farm payrolls data released this week to reveal more indicators on monetary policy.

By 0334 GMT, gold prices in spot transactions fell 0.5 percent to $2,327.09 per ounce. US gold futures fell 0.4 percent to $2,338.30 an ounce.

The US central bank’s Monetary Policy Committee meets on April 30 and May 1, and US non-farm payrolls data is released on Friday, both of which are important factors for markets this week. The US central bank is expected to keep interest rates in a range between 5.25 and 5.5 percent during this meeting.

As for other precious metals, silver rose in spot transactions by 0.3 percent to $27.24 per ounce. Platinum in spot transactions increased 0.5 percent to $19.95 an ounce. Palladium rose 0.1 percent to $954.94 an ounce.