Arabian Business Egypt – Gold prices declined when settling trading today, Wednesday, ahead of the release of the minutes of the Federal Reserve meeting, and amid increasing expectations regarding a sharp hike in the US interest rate this year to control inflation.
And gold futures contracts for June delivery fell by 0.2%, or $4.40, to $1923.10 an ounce, following recording $1937.60 earlier in trading.
Meanwhile, the dollar index, which measures the performance of the US currency once morest a basket of six major currencies, rose by 0.08% at 99.555 points.
And Patrick Harker, President of the Federal Reserve in Philadelphia, warned of the possibility of inflation expectations out of control, following inflation recorded its highest level in 40 years, noting that the US Federal Reserve may approve systematic interest rate increases in response to price pressures.
During yesterday’s trading, Federal Reserve Board member Lyle Brainard warned of a high rate of inflation, expecting the US central bank to reduce its balance sheet faster than previously expected to control rising inflation.
The Federal Reserve is scheduled to issue later today the minutes of the Federal Open Market Committee meeting on the fifteenth and sixteenth of last March, following the bank decided at that meeting to raise interest rates by 25 basis points for the first time since 2018. .
US Treasury yields continue to rise, supported by expectations of raising interest, as the yield on 10-year bonds reached 2.59%, while the yield on two-year bonds recorded 2.49%.
