The price of gold has undergone a slight adjustment and reached its lowest level in the past five months. This is due to the continued increase in US Treasury bond yields, especially the 10-year bond reaching its highest yield in 15 years at around 4.3%. The recovery of the US dollar at this time has also contributed to pushing down the price of gold, facing downward pressure.
The minutes from the latest Federal Open Market Committee (FOMC) meeting reminded both traders and investors that the Federal Reserve remains committed to controlling inflation in the United States. The market is currently evaluating these minutes optimistically with positive views from Fed's side.
However, US Treasury yields continue to rise after publication of these minutes, along with the US dollar index reaching a new peak in nine weeks overnight putting pressure on precious metal prices due to concerns about future demand being lower.
The minutes from the latest Federal Open Market Committee (FOMC) meeting reminded both traders and investors that the Federal Reserve remains committed to controlling inflation in the United States. The market is currently evaluating these minutes optimistically with positive views from Fed's side.
However, US Treasury yields continue to rise after publication of these minutes, along with the US dollar index reaching a new peak in nine weeks overnight putting pressure on precious metal prices due to concerns about future demand being lower.
