Gold prices fell today Monday as rising US Treasury yields put pressure on demand for gold. in view of a key meeting of the Federal Reserve (the US central bank) later this week when the central bank is expected to raise interest rates.
Spot gold fell 0.3% to $ 1,890.69 an ounce at 0053 GMT. US gold futures fell 1% to $ 1,893.40.
The Federal Reserve’s Federal Open Market Committee is expected to begin its two-day interest rate meeting on May 3 and announce its decision the following day.
Fed policymakers appear to be ready to announce a series of aggressive rate hikes at least until the summer to counter accelerating inflation and rising labor costs.
Yields on benchmark US Treasuries for ten years rose today, Monday, which put pressure on demand for gold.
Gold prices rose 1% on Friday after the US dollar fell, but closed the month of April in slight decline due to bets on tightening of US central bank policy.
As for other precious metals, silver fell 0.4% in spot trades to $ 22.66 an ounce, platinum fell 0.2% to $ 929.51, and palladium fell by 0.2% to $ 929.51. 1.7% at $ 2281.99.
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