Gold prices leveled off after six consecutive days of decline, during which the metal lost several percent of its value. Investors are reacting to statements from the US Federal Reserve about rising inflationary risks. This is reported by Reuters, writes UNN.
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Earlier, gold significantly depreciated due to the strengthening dollar and rising bond yields, which traditionally puts pressure on demand for precious metals.
The focus is on the Fed's position, which warned of inflation risks due to rising energy prices amid the war in the Middle East. This forced investors to reduce expectations of rapid rate cuts.
Gold stabilized amid falling dollar and oil crisis, silver rose slightly17.03.26, 05:16
Higher rates reduce the attractiveness of gold, as it does not yield interest income.
Despite the recent decline, gold remains relatively strong due to geopolitical tensions and demand for "safe havens." At the same time, further dynamics will depend on the Fed's decisions and the situation in energy markets.
Spot gold was little changed at $4,816.56 an ounce at 6:19 a.m. in Singapore. Silver was also unchanged at $75.38, while platinum and palladium remained stable.
Gold holds near $5,000 – markets await signals from the Fed18.03.26, 05:13