I retreated Gold prices, today, Friday, are heading towards the second weekly decline With the yield on US Treasuries approaching its highest level in years, following strong labor market data and statements regarding monetary tightening from US central bank officials, which undermined the appetite for the precious metal.
By 01:18 GMT, gold settled in spot transactions at $1627.2 an ounce, while it fell 0.8% this week.
And US gold futures fell 0.4% to $ 1630.1 an ounce, according to “Archyde.com”.
With the current situation of inflation, “the central bank is actively trying to slow the economy, and will continue to raise interest rates for a while,” Federal Reserve Chairman Patrick Harker in Philadelphia said on Thursday.
Although gold is considered a hedge against inflation, higher interest rates increase the opportunity cost of holding the precious metal, which does not pay interest.
As for other precious metals, silver fell in spot transactions 0.2% to $18.63 an ounce.
Platinum fell 0.4% to $910.30 an ounce, while palladium fell 1.4% to $2,028.43 an ounce.