Commodities
Dollar Surge Dampens Gold and Silver Gains After Fed Rate Hike
The price of gold and silver declined on Friday afternoon in London as a strong US Dollar led to a retreat in stocks, bonds, and precious metals. The dollar reached its highest level since end-July, causing spot gold prices to drop by 0.8% at $4351 per troy ounce.
Despite the decline in gold prices, silver held onto a near-$2 gain at $66.30 per troy ounce, but overall, precious metals suffered from the rebound in stocks and government debt after the Federal Reserve's interest rate hike.
The yield on 10-year US Treasury debt rose above 5.00% for the second time this year, while US inflation remains steady at 3.7% according to the Fed's preferred PCE measure in July.