Gold up 1% amid lower dollar, interest rate hike fears

Gold prices rose 1% today, Tuesday, with the dollar’s ​​decline, although expectations that the Federal Reserve (the US central bank) will raise interest rates more kept the precious metal near its lowest level in two and a half years.

According to “Reuters”, the price of gold in spot transactions rose by 1.1% to $1639.94 an ounce (an ounce) by 0726 GMT. On Monday, prices recorded their lowest level since April of 2020, at $1620.20 an ounce. US gold futures rose 0.9% to $1647.70.

The dollar index fell 0.4%, after hitting a two-decade high in the previous session. The 10-year Treasury yield also fell from its 12-year peak on Monday

On Monday, US central bank officials downplayed the increased volatility in global markets and said their priority remained controlling inflation.

Gold prices have fallen by 20% since rising above the $2000 barrier in March.

As for other precious metals, the price of silver in spot transactions jumped by 2% to $ 18.70 an ounce, and platinum rose by 0.9% to $ 860.00, and palladium rose by 0.7 percent to $ 2060.01.