The price of gold futures has narrowed. While most investors are out of the market. Before the release of the minutes of the Federal Open Market Committee (FOMC) meeting for November today.
At 8:07 p.m. Thai time, the COMEX (Commodity Exchange) gold contract is delivered in December. minus $ 2.20 or 0.13% to $ 1,737.70 / ounce
Investors are keeping an eye on the minutes of the Nov. 1-2 FOMC meeting, which will be released later today, to provide an indication of the Fed’s interest rate direction.
In addition, the market will keep an eye on the Fed official’s statement on the direction of US interest rates.
Cleveland Fed President Loretta Mester said the Fed could raise interest rates at a slower pace since December. While the Fed is adjusting monetary policy to stem inflation. while maintaining strong economic growth.
“I think the Fed can delay raising interest rates at its next meeting. after raising interest rates to 0.75% in the previous meeting which I think is appropriate But I think we should let economic conditions be an indicator that To what extent should we raise rates?” Ms Mester said.
The Fed raised interest rates by 0.75% to a range of 3.75-4.00% at its November meeting. While investors expect the Fed to raise interest rates by 0.50% at its December 13-14 meeting.
Raising interest rates will increase the opportunity cost of holding gold. Because gold is an asset without interest in the form of interest.