Gold Prices Slip Amid Rising Yields and Oil Costs Ahead of Fed Minutes
Gold prices fell on Tuesday due to rising U.S. Treasury yields and a spike in oil prices following Iran's announcement of a more aggressive military stance after ceasefire negotiations with Washington collapsed.
The spot price of gold dropped 0.4% to $4,397 per ounce, while silver slipped 0.7% to $65.32. Traders are awaiting the release of Federal Reserve minutes from the July policy meeting, scheduled for Wednesday, for signals on the interest rate outlook.
Market pricing now shows a nearly 65% probability that the Fed will hold rates steady in September, a sharp reversal from earlier expectations of a hike, following weak U.S. jobs, inflation, and retail sales data.
The technical analyst Wang Tao identified $4,381 as a key support level for gold, with a break below potentially opening the way toward the $4,320 to $4,351 range.