Prices for gold They fell on Tuesday due to the dollar’s rise, as investors waited for fresh U.S. economic data to gauge the Federal Reserve’s interest-rate hike strategy.
At 0952 GMT, spot gold was down 0.3 percent at $1,835.70 an ounce, and U.S. gold futures were down 0.4 percent at $1,843.10.
The Dollar Index It hovered around its highest level in six weeks, making bullion – priced in the greenback – more expensive for buyers with other currencies.
“The main driver of gold remains the changing expectations around the Fed’s next monetary policy measures, of which there may be more clues in the FOMC minutes,” said Han Tan, chief market analyst at Exinity, referring to the U.S. central bank’s Federal Open Market Committee.
“If the U.S. economy continues to defy the Fed’s rate hikes, that could invite a higher spike for rates, much to the chagrin of bullion bulls.”
This week, the focus will be on the release of minutes of the FOMC’s January meeting on Wednesday, followed by U.S. gross domestic product data on Thursday and the core personal consumption expenditure (PCE) index on Friday.
The price of gold hit its highest level since April 2022 earlier in the month at $1,959.6, but has since lost about $130 after U.S. data showed signs of a resilient economy.
In other precious metals, silver it rose 0.2 percent to $21.79 an ounce; the platinum it gained 0.1 per cent to $927.30; and the palladium It was down 1.1 percent at $1,494.25.