Gold down with focus on US inflation and Fed meeting

Gold prices fell on Monday, affected by the rise in the dollar, as investors await key inflation data in the United States and the decision of the Federal Reserve (US Central Bank) scheduled this week to raise interest rates.

According to Reuters, the spot gold price fell 0.2 percent to $1,793.44 an ounce, as of 0009 GMT. US gold futures fell 0.3 percent to $1,805.90.

The dollar index rose 0.2 percent, making dollar-priced gold more expensive for buyers abroad.

Investors will closely watch US consumer price index data on Tuesday and the last meeting of the Federal Reserve for 2022, which is scheduled for December 13-14.

Dealers expect a 93 percent chance that the Federal Reserve will raise interest rates by 50 basis points.

Higher interest rates tend to increase the opportunity cost of holding gold because it does not yield any interest.

As for other precious metals, the price of silver in spot transactions fell 0.7 percent to 23.29 dollars, the price of platinum fell 0.7 percent to 1014.95 dollars, and the price of palladium fell 0.2 percent to 1946.62 dollars.