Gold heads for weekly loss as stronger dollar, Fed rate outlook weighs
GLD•Spot gold fell 0.2% to $4,270.83 an ounce on Friday and was down more than 2% for the week as a stronger dollar and expectations of higher US interest rates weighed on prices.
1. Gold prices fall
Spot gold was down 0.2% at $4,270.83 per ounce by 0425 GMT, while US gold futures rose 0.2% to $4,305.10. The dollar was headed for a weekly gain and US Treasury yields extended gains.
2. Rate outlook weighs
Expectations of higher-for-longer US interest rates firmed after two Fed policymakers said additional hikes may be needed to curb high inflation. Markets were pricing in a nearly 69% probability of a US rate hike in October, based on CME's FedWatch Tool. Silver, platinum and palladium were also poised for weekly losses.
