Gold prices fall to their lowest level in a week

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Gold prices fell on Wednesday, heading towards their lowest level in a week, which they reached in the previous session, as US Treasury yields rose to their highest levels in two years due to expectations that the US Federal Reserve will raise interest rates significantly, which undermined the attractiveness of the non-yielding metal. .

And the price of gold in spot transactions fell 0.2 percent to $ 1810.90 an ounce (an ounce) by 0352 GMT, after it fell to its lowest level in a week at $ 1805 an ounce on Tuesday. US gold futures fell 0.1 percent to $1,810.80.

Gold is considered a hedge against inflation, but higher interest rates tend to affect the precious metal.

Record US Treasury yields jumped to their highest level in two years, while the dollar index recorded its largest daily gain in four weeks yesterday, raising the cost of holding gold for holders of other currencies.

Traders are awaiting the Federal Reserve’s meeting on January 25 and 26, and expect a more aggressive approach in the face of persistent inflation, the highest in nearly 40 years at seven percent.

As for other precious metals, spot silver fell 0.2 percent to $23.41 an ounce, platinum fell 0.8 percent to $973.64, and palladium fell 0.4 percent to $1889.46.

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