Gold is falling with bonds, equity, and commodity prices as expectations for US interest rates rose after the US government struck a deal with Republican opponents to avert a shutdown until the middle of next month.
US President Joe Biden signed a bill to extend government funding for 6 weeks, but without any additional funding for sending arms or aid to Ukraine, already costing $75 billion and a source of outrage among hard-right Republicans.
The market will price in a greater chance of a November hike, which will mean more pressure at the front-end of the curve. Positioning in Fed Fund futures contracts jumped to price the odds of an interest-rate rise next month at 28% from the 18% seen before the weekend’s deal. Major government bond prices fell again, pushing up bond yields to fresh 2007 highs on most US Treasury debt, including the 10-year bond.
The Dollar index also rose, up 0.3% by lunch time in London and extending last week’s 3.1% leap, the 11th weekly rise in a row. Gold prices in the US Dollar fell 0.7% Monday morning to $1835 per ounce, the lowest since early March.<\/p>\n","protected":false},"excerpt":{"rendered":"
Gold is falling with bonds, equity, and commodity prices as expectations for US interest rates rose after the US government struck a deal with Republican opponents to avert a shutdown until the middle of next month. US President Joe Biden signed a bill to extend government funding for 6 weeks, but without any additional funding …<\/p>\n","protected":false},"author":13,"featured_media":81236,"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":[7195,7583,6852,7603,9358,7655],"class_list":["post-90292","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-commodities-news","category-forex-markets","category-market-updates","tag-bonds","tag-commodities","tag-equity","tag-gold-prices","tag-hawkish-stance","tag-us-treasury-bond-yields"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/90292","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\/13"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=90292"}],"version-history":[{"count":2,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/90292\/revisions"}],"predecessor-version":[{"id":90298,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/90292\/revisions\/90298"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/81236"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=90292"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=90292"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=90292"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}