Gold Extends Losses For The Fourth Day on Higher US Dollar

Gold fell Thursday, September 24th, to its lowest level in more than two months, on dollar’s rally, while investors were concerned about the uncertainty surrounding additional stimulus measures to support the slowing economic recovery in the United States.

This fell gold in immediate transactions 0.7% to 1851.51 dollars an ounce by 05:53 GMT, to continue its decline for the fourth session. Earlier in the session, it reached its lowest level since July 22 at $ 1,847.99. US gold futures fell 0.8% to $ 1853.10.

The dollar index settled near its highest level in more than eight weeks ahead of competing currencies, as indications of an economic slowdown in Europe and the United States revived concerns about the repercussions of the second wave of COVID-19 infections. And the higher dollar increases the cost of the yellow metal to holders of other currencies.

Meanwhile, US Federal Reserve officials are trying to convince investors that they will keep monetary policy soft for years in order to forgive a decrease in unemployment.

Optimism surrounding the emerging economic recovery worsened as data showed that business activity in the United States and Europe cooled in September as the pandemic continues to negatively impact business.

As for the other precious metals, silver fell 5.4% to $ 21.64, the lowest level in more than two months, and fell in the last trading 4.2% to $ 21.91.

Platinum fell 0.5% to $ 833.31 an ounce and palladium fell 1% to $ 2,199.39.