Gold prices fell slightly during trading today, Tuesday, coinciding with the markets anticipation for the release of the results of the US Federal Reserve meeting tomorrow, Wednesday, which will have a clear and very strong impact on the movements of currencies and commodities, especially gold.
During today’s trading, spot gold contracts decreased by 0.21% and recorded about 1775.76 dollars an ounce. Meanwhile, gold futures contracts recorded about $1790.05 an ounce, an increase of 0.45%.
The dollar index, which measures the performance of the US currency during today’s trading, has almost stabilized and settled above 106.50 points, and scored about 106.51 points, declining by approximately 0.02%.
Gold prices fell slightly today, with expectations that the US Federal Reserve will continue to raise interest rates at a strong pace during the next September meeting, at a rate that may reach 0.75% also, in light of the stability of inflation at high levels near 8.5%, which puts many pressures on the US Federal Reserve. To continue to tighten monetary policy with full force to curb inflation.
In addition, gold prices are awaiting the release of the results of the US Federal Reserve meeting tomorrow, Wednesday, which will have a strong impact on the markets, especially as it gives more accurate and clear details about the circumstances of the decision-making within the US Federal Reserve at its previous meeting, the extent to which members view the economic conditions, and how the pace of raising interest rates is going during the period. Then, these results will be strongly reflected on both gold and the US dollar.
Also, gold was also affected by the rise in the US bond yield, as the US 10-year bond yield rose by 1.44% and recorded about 2.831%. Also, the US 20-year bond yield increased by 0.32% and recorded about 3.3225%. The US bond yield also increased by 0.59% to record 3.115%. Which was one of the reasons that negatively affected gold prices today.
Among the prices of other metals, apart from gold, silver contracts fell at the beginning of trading by 0.98%, and recorded about 20,073 dollars an ounce, while palladium contracts fell by 0.45%, and recorded about 2148.52 dollars an ounce. Platinum metal contracts fell by 0.15% and recorded about $ 932.20 an ounce.