Gold is rising with the support of the dollar’s decline, eyes on Fed

Gold prices rose on Tuesday, after falling 1 percent in the previous session, as the US dollar fell. Still, investors are waiting for more indications regarding interest rate expectations by the Federal Reserve.

And by 1133 GMT, gold in instant transactions increased 0.4 percent to $ 1776.15 an ounce. US gold futures rose 0.4 percent to $1,788.60 an ounce.

Better-than-expected US services sector data spooked investors on Monday and raised fears that the Federal Reserve could continue sharp interest rate increases for longer.

As a result, the metal fell from a five-month high to end the session 1.6% lower, as the dollar rebounded after the data.

High interest rates affect the attractiveness of non-yielding gold.

The Federal Reserve will hold its last meeting of 2022 on December 13-14.

As for other precious metals, silver rose in spot transactions 1.3 percent to $ 22.5298 an ounce, and platinum fell 0.32 percent to $ 994.47 an ounce.

There was little change in palladium, which recorded $1875.05 an ounce.