Gold prices fell near their lowest level in two and a half years, as the dollar rose

Gold prices settled near their lowest level in two and a half years today, Monday, affected by the rise in the dollar and with the adoption of a tough stance by major central banks on interest rates to reduce inflation.

And the price of gold in spot transactions fell 0.3% to $ 1637.85 an ounce, as of 04:15 GMT. Prices fell 1% earlier in the session to their lowest level since April 2020, recording $1,626.41.

Gold prices have fallen more than 20% since it crossed the key $2,000 an ounce limit in March.

The dollar index, which measures the performance of the US currency against 6 major currencies, rose to its highest level since 2002, supported by the decline of the pound sterling.

The US Federal Reserve and a number of other major central banks raised interest rates last week, raising concerns about their impact on growth.

Raising interest rates in the United States reduces the attractiveness of non-yielding gold while strengthening the dollar in which gold is priced.

As for other precious metals, the price of silver in spot transactions fell 1.6 percent to $18.54 an ounce, after falling earlier to its lowest level in more than two weeks.

The price of platinum rose 0.5% to $858.40, and the price of palladium rose 0.9% to $2084.79.