Comex gold futures contract Delivered in April. minus $ 4.90 to close at $ 1,840.50 / ounce
Yields on 2-year US Treasuries, sensitive to Federal Reserve monetary policy, rose near 5% today, while 10-year Treasury yields stood above 4% amid expectations. incident that The Fed will raise interest rates harder and longer than expected to curb inflation.
A stronger dollar will reduce the attractiveness of gold. By making gold contracts more expensive for holders of other currencies. Meanwhile, a rebound in US Treasury yields will increase the opportunity cost of holding gold. Because gold is an asset without interest in the form of interest.
In addition, investors are worried that the Fed will raise interest rates longer than expected. After the US released data indicating a strong labor market. This will be a factor supporting the Fed’s interest rate hike.
The Labor Department reported initial claims for unemployment benefits fell 2,000 to a seasonally adjusted 190,000 last week. Against analysts who expected an increase to 195,000
The number of applications for unemployment benefits fell for the third straight week and stayed below the 200,000 level for seven straight weeks.
At the same time, the US Department of Labor reported that The number of Americans still claiming unemployment benefits fell 5,000 to 1.65 million.