Gold Falls With The Rise of US Dollar, Eyes on Central Banks

Gold fell on Monday, September 7th with the dollar achieving gains, but economic uncertainty prevented it from falling further as investors awaited developments from central banks.

The gold spot fell 0.1% to 1929.87 dollars an ounce by 12:28 GMT. Gold rose in US futures trading 0.1% to 1935.10 dollars an ounce.

The dollar index rose 0.3%, which raises the cost of gold for holders of other currencies.

Central banks have reduced interest rates to confront the Coronavirus crisis and gold has gained more than 27% since the beginning of the year, as low-interest rates reduce the opportunity cost of owning the yellow metal that does not generate a return.

As for the other precious metals, silver fell 0.3% to $ 26.80 an ounce, platinum rose 0.3% to $ 897.40, and palladium increased 0.2% to $ 2,302.44.