Gold prices fall amid strengthening of US dollar

Gold prices fell on November 15 morning as a stronger dollar is holding back demand for the precious metal, Report informs referring to the auction data.

The price of December futures for gold on the New York Comex exchange fell by $1.75, or 0.1%, to $1,775.15 per troy ounce. December futures for silver rose 0.12% to $22.14 an ounce.

The dollar at the same time rose against the yen by 0.28%, to 140.26 yen per dollar. A stronger dollar makes gold less available to buy in other currencies.

The attention of the markets remains around the monetary policy of the Federal Reserve System (FRS) of the US. Markets generally expect that in December the regulator will once again raise the rate, by 50 basis points, to 4.25-4.5% per annum. Prior to this, the rate was raised four times in a row by 75 basis points.

The Fed has previously stressed the intention of the regulator to keep rates high to combat high inflation in the US.

Gold is sensitive to signals from the Fed, as they affect the dollar, which in turn affects the price of the precious metal.

Catalogue

Converter

Gold prices fall amid strengthening of US dollar