Gold down ahead of US inflation data

Gold prices fell today, Monday, affected by the rise of the dollar, and with investors anticipating US inflation data on Tuesday, which may affect the plans of the Federal Reserve (US Central Bank) for the future of interest rates.

According to “Reuters”, gold in spot transactions fell 0.1 percent to $ 1863.38 an ounce by 0653 GMT, while gold futures contracts in the United States increased 0.1 percent to $ 1876.90.

Gold is considered a hedge against inflation, but the cost of holding it increases when interest rates are raised to curb inflation.

The dollar index rose 0.1 percent, making the greenback-denominated metal more expensive for holders of other currencies. And the benchmark 10-year Treasury bond yields hovered near their highest levels since January 6th.

Silver in the spot market fell 0.3 percent to $21.93 an ounce, platinum fell 0.1 percent to $943.76, while palladium increased 0.1 percent to $1,544.14.