gold In spot transactions, it rose 0.9 percent to $ 1,791.23 an ounce by 0550 GMT, further retreating from the more than five-month peak it recorded on Tuesday. US gold futures fell 0.9 percent, to $1,802.10.
Powell said Wednesday that American Central He will adopt more interest rate hikes next year, even though the US economy is slipping into a possible recession, and he justified this by the fact that the economy will incur a higher price if the central bank does not curb inflation strongly.
Christopher Wong, an analyst at VOCBCFX, said that the central bank’s adherence to the tendency to tighten monetary policy is putting pressure on the metal, and that the expectations of gold prices It depends on how much tightening central banks, especially the US central bank, plan to do from now on.
Gold is known as a hedge against inflation, but high interest rates tend to weaken its attractiveness because it increases the opportunity cost of holding non-returnable metal.
The dollar index rose 0.1 percent. An increase in the dollar makes gold more expensive for overseas buyers.
As for other precious metals, silver fell 2.7% to $23.24 an ounce, platinum fell 1.1% to $1017.25, while palladium fell 0.7% to $1903.18.
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And it fell gold In spot transactions, it rose 0.9 percent to $ 1,791.23 an ounce by 0550 GMT, further retreating from the more than five-month peak it recorded on Tuesday. US gold futures fell 0.9 percent, to $1,802.10.
Powell said Wednesday that American Central He will adopt more interest rate hikes next year, even though the US economy is slipping into a possible recession, and he justified this by the fact that the economy will incur a higher price if the central bank does not curb inflation strongly.
Christopher Wong, an analyst at VOCBCFX, said that the central bank’s adherence to the tendency to tighten monetary policy is putting pressure on the metal, and that the expectations of gold prices It depends on how much tightening central banks, especially the US central bank, plan to do from now on.
Gold is known as a hedge against inflation, but high interest rates tend to weaken its attractiveness because it increases the opportunity cost of holding non-returnable metal.
The dollar index rose 0.1 percent. An increase in the dollar makes gold more expensive for overseas buyers.
As for other precious metals, silver fell 2.7% to $23.24 an ounce, platinum fell 1.1% to $1017.25, while palladium fell 0.7% to $1903.18.