Gold hits one-week high, interest rate concerns cap gains

Gold prices rose to their highest level in a week today, Wednesday, as the dollar weakened, however, fears of US interest rate increases on the back of high inflation globally curbed gains.

According to Reuters, gold continued its gains in spot transactions for the third session, rising 0.4 percent to $1,834.75 an ounce by 0701 GMT. US gold futures increased 0.3 percent to $1,842.90

“The next stop for gold may be the $1850-1860 region, and at this point we will wait for another peak,” said Matt Simpson, senior market analyst at City Index.

In February, the precious metal recorded its worst month since June 2021 after a series of US data that indicated the resilience of the economy and an increase in the number of jobs available in the labor market, which raised fears that the Federal Reserve (the US Central Bank) would continue to raise prices. Interest to reduce inflation

The dollar index fell 0.2 percent, making gold priced in the US currency accessible to buyers holding other currencies.

As for other precious metals, silver rose in spot transactions by 1 percent to 21.13 dollars an ounce, and platinum increased 1.1 percent to 962.96 dollars, and palladium rose 2 percent to 1441.77 dollars.