Gold stabilizes as traders await US interest rate hike path

There was little change in gold prices today, Tuesday, with the dollar stabilizing after recording its largest jump in two weeks in the previous session, while fears of a larger US rate hike by the Federal Reserve (US Central Bank) persisted.

By 0553 GMT, gold settled in spot transactions at $ 1769.99 an ounce (an ounce), and US gold futures contracts remained unchanged at $ 1781.20 an ounce.

According to “Reuters”, gold fell after reaching the highest level in five months, to close down 1.6 percent with the recovery of the dollar after data that reinforced speculation that the US central bank may raise interest rates more than expected recently.

High interest rates affect the attractiveness of gold because they raise the opportunity cost of owning the precious metal that does not yield interest.

Reuters technical analyst Wang Tao said that gold may jump in spot transactions to $1,783 an ounce, before continuing its decline towards $1,766 an ounce.

As for other precious metals, spot silver rose 0.5 percent to $22.37 an ounce. Platinum rose 0.1% to $998.63 an ounce. Palladium rose 0.5 percent to $1,885.75 an ounce.