© Archyde.com. Gold bars in Mendrisio, Switzerland, on July 13, 2022. Photo: Dennis Balibus/Archyde.com.
(Archyde.com) – It retreated from its highest levels in nearly nine months, which it reached in the early hours of Monday morning, as the dollar compensated for its losses, but expectations of the Federal Reserve (the US central bank) raising interest rates at a slower pace kept the yellow metal attractive.
And the price was $ 1916.26 an ounce (ounce) at 0754 GMT. Earlier in the session, prices hit $1,929 an ounce, their highest since late April.
US gold futures rose 0.1 percent to $1,919.90.
And it has regained ground, making dollar-denominated gold a less attractive bet.
The US central bank raised interest rates by 75 basis points four times last year, before slowing the pace to 50 basis points in December. Most traders expect it to raise it by 25 basis points at its next policy meeting on January 31-February 1.
Gold is a non-returnable asset, and therefore tends to benefit from low interest rates because it reduces the returns of other assets such as government bonds and the dollar.
Investors will also be watching US retail sales data due on Wednesday.
In terms of other precious metals, the spot price rose 0.1 percent to $24.28, after reaching its highest level in nearly two weeks. Platinum fell 0.3% to $1,061.88 and fell 1.3% to $1,765.96.
(Prepared by Ali Khafaji and Yasmine Hussein for the Arabic Bulletin)