Gold prices fell on Monday to their lowest level in a month, after the continued tightening of monetary policy to reduce inflation led to the decline in the attractiveness of the non-yielding precious metal and the rise of the dollar.<\/p>\n\n\n\n
And gold fell in spot transactions 0.9 percent to $ 1721.16 an ounce by 0738 GMT, after hitting its lowest level since July 27 at $ 1720.31 earlier. US gold futures fell 1% to $1,732.30.<\/p>\n\n\n\n
The dollar index has crossed its highest level in 20 years, making bullion priced in US dollars more expensive for buyers in other currencies.<\/p>\n\n\n\n
In a speech at the start of a central bank seminar in Jackson Hole, Wyoming, on Friday, Powell said the Federal Reserve would continue to raise interest rates to curb inflation even though it was causing “some pain” to households and businesses.<\/p>\n\n\n\n
Markets expect a 75 basis point rate hike at September’s next Federal Reserve meeting.<\/p>\n\n\n\n
European Central Bank policymakers have also called for a significant rate hike next month even as the recession risks appear on the horizon.<\/p>\n\n\n\n
Gold is a hedge against economic risk, but higher interest rates increase the opportunity cost of holding bullion.<\/p>\n\n\n\n
Among other precious metals, spot silver fell 1.7 percent to its lowest level in a month at $18.56 an ounce. Platinum fell 0.9 percent to $855.89, and palladium settled at $2,110.43.<\/p>\n","protected":false},"excerpt":{"rendered":"
Gold prices fell on Monday to their lowest level in a month, after the continued tightening of monetary policy to reduce inflation led to the decline in the attractiveness of the non-yielding precious metal and the rise of the dollar. And gold fell in spot transactions 0.9 percent to $ 1721.16 an ounce by 0738 …<\/p>\n","protected":false},"author":9,"featured_media":61843,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[38,37,36],"tags":[6874,8143,7164],"class_list":["post-71051","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-commodities-news","category-forex-markets","category-market-updates","tag-gold","tag-interest-rate-hikes","tag-powell"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/71051","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=71051"}],"version-history":[{"count":3,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/71051\/revisions"}],"predecessor-version":[{"id":71054,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/71051\/revisions\/71054"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/61843"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=71051"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=71051"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=71051"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}