Gold Prices Decline Amid Stronger Dollar and US Rate Hike Expectations

The price of gold on MCX fell by 0.48% to Rs. 1,41,800 per 10 grams on July 28 due to a stronger dollar and profit-taking in precious metals. This decline occurred as the US Federal Reserve's monetary policy decision loomed on July 29, with traders now expecting an 81% chance of a September rate hike.

Brent crude futures fell by 1.20% to $87.30 per barrel, while US West Texas Intermediate (WTI) edged lower by 1.16% to $81.65 per barrel. According to Ilya Spivak, Head of Global Macro at Tastylive, 'We're oscillating in this narrow range between $3,950 and $4,200, and I think the market is just waiting for Fed signals.'

The US gold prices fell under pressure from a stronger dollar, with spot gold falling 0.7% to $4,044.81 per ounce after rising around 1% on Monday. US gold futures for August delivery lost 0.8% to $4,045.40.