Gold Prices Fall Amid Easing Rate Hike Fears and Rising Oil
Gold and silver prices have taken a hit due to shifting expectations around US interest rates and rising oil prices, amidst fresh geopolitical tensions.
The price of gold fell 0.30% to Rs 1,55,470, while silver dropped 0.96% to Rs 2,35,763 at the time of writing on Tuesday.
According to Dr Renisha Chainani, Chief Research Officer (CRO) at Augmont, 'Gold and silver came under pressure as fears of a US interest rate hike next month eased,' with investors now awaiting minutes from the Federal Reserve's latest meeting for fresh clues on the policy path ahead.
The Fed's upcoming meeting will be closely watched by investors, who will look for clues on how policymakers view inflation and whether interest rates could stay high for longer. Market pricing has shifted towards a nearly 65% probability of the Fed keeping rates unchanged in September.