The spot gold price fell 0.2% to $1837.59 an ounce
Gold prices fell today, Monday, affected by the rise in the dollar, and after recent US economic data raised fears that the Federal Reserve (US Central Bank) may raise interest rates further.
The spot gold price fell 0.2%, to $1837.59 an ounce, by 00:48 GMT. US gold futures fell 0.1%, to $1,847.60, according to Reuters.
The dollar index rose 0.2%, making bullion denominated in US dollars less attractive to buyers holding other currencies.
Financial markets now expect the Federal Reserve to raise benchmark interest rates above 5% by May, with rates peaking at 5.3% in July, after recent data showed a lack of employment in the labor market alongside rising inflation and consumer prices. .
Gold is considered a hedge against rising inflation, but high interest rates increase the opportunity cost of owning the yellow metal, which does not yield a return.
As for other precious metals, the spot silver price fell 0.7%, to $21.58 an ounce, platinum fell 0.3%, to $914.17, and palladium fell 0.6%, to $1488.61.
Market activity is expected to be relatively limited on Monday due to a holiday in the United States.
