Gold Drops More than 2% on US Rate-Hike Bets
Spot gold fell 3.8% as traders priced in a 94% chance of a December rate hike, with higher yields and a stronger dollar pressuring bullion.
- On Sept 28, Gold lost 4% to hit a seven-week low as rising Oil prices, a stronger dollar, and climbing Treasury yields created headwinds for the metal.
- President Donald Trump rejected a peace deal from Iran regarding the Strait of Hormuz, causing Oil to rise about 3% and stoking inflation concerns that force The Fed toward higher-for-longer rate policies.
- Jim Wyckoff of the American Gold Exchange said rising Treasury and dollar strength are "creating a perfect storm to push the metals prices sharply lower," while traders see a 94% chance of a rate hike.
- Across the Markets, spot silver fell 4.3 per cent, platinum declined 2.8 per cent, and palladium lost 3.1 per cent on Sept 28.
- Markets now turn focus to job openings, the ADP employment report, Personal Consumption Expenditures readings, and nonfarm payrolls, all due this week.
58 Articles
58 Articles
Gold’s lustre dims as Treasury yields surge, markets bet on higher Fed rates
LONDON, Sept 28 (Reuters) - Gold prices could face further pressure in the coming days as rising US Treasury yields and expectations of additional Federal Reserve rate hikes sap demand for the non-yielding metal. Spot gold fell as much as 4% to $4,11...
Shafaq News - Follow-up: Gold prices fell by more than 1% on Monday evening, after a morning drop of over 2%, reaching their lowest level since August 5th. Reuters explained that rising oil prices fueled concerns about inflation and supported the likelihood of interest rates remaining high, in addition to the strengthening dollar and rising US Treasury yields. Spot gold fell 1.2% to $4,146.51 per ounce by 1:25 PM GMT, after dropping 2.1% to $4,1…
The price of gold fell significantly on Monday, following on from last week's price losses.
The price of gold continued to fall on Monday, continuing last week's trend. On Monday morning, a troy ounce (about 31.1 grams) was trading at $4,190 on the London Stock Exchange, down about three percent from Friday. The price of gold has already fallen by about $200 per ounce in the past week.
Coverage Details
Bias Distribution
- 53% of the sources lean Right
Factuality
To view factuality data please Upgrade to Premium
