Gold Prices Are Falling: The Main Reasons
7 July 15:28
Gold prices on Tuesday, July 7, are falling for the second consecutive session under pressure from a strengthening dollar: traders are awaiting the release of the minutes from the Federal Reserve’s June meeting and are monitoring the situation in the Persian Gulf. This is reported by "Komersant Ukrainian", citing Reuters.
The spot price of gold fell by 0.72% to $4,134.14 per troy ounce. Last week, the precious metal rose by more than 2%, halting a four-week decline.
The dollar index against a basket of major currencies rose 0.1% to 100.96.
“Today’s movement looks more like consolidation than a noticeable reversal of last week’s positive sentiment: market participants are awaiting the release of the Federal Open Market Committee’s minutes,” noted Ricardo Evangelista of ActivTrades.
According to the analyst, investors will focus on how the Fed assesses the situation with inflation and the labor market, as well as any potential differences in views among FOMC members.
Markets are currently pricing in a roughly 58% probability of a rate hike in September, according to the CME’s FedWatch tool.
Palladium rose 0.77% to $1,278.13 per ounce, while silver fell 1.76% to $60.99 per ounce. The price of platinum rose 0.49% to $1,638.97.
Watch us on YouTube: important topics – without censorship
