AGL 40.00 Decreased By ▼ -0.16 (-0.4%)
AIRLINK 129.53 Decreased By ▼ -2.20 (-1.67%)
BOP 6.68 Decreased By ▼ -0.01 (-0.15%)
CNERGY 4.63 Increased By ▲ 0.16 (3.58%)
DCL 8.94 Increased By ▲ 0.12 (1.36%)
DFML 41.69 Increased By ▲ 1.08 (2.66%)
DGKC 83.77 Decreased By ▼ -0.31 (-0.37%)
FCCL 32.77 Increased By ▲ 0.43 (1.33%)
FFBL 75.47 Increased By ▲ 6.86 (10%)
FFL 11.47 Increased By ▲ 0.12 (1.06%)
HUBC 110.55 Decreased By ▼ -1.21 (-1.08%)
HUMNL 14.56 Increased By ▲ 0.25 (1.75%)
KEL 5.39 Increased By ▲ 0.17 (3.26%)
KOSM 8.40 Decreased By ▼ -0.58 (-6.46%)
MLCF 39.79 Increased By ▲ 0.36 (0.91%)
NBP 60.29 No Change ▼ 0.00 (0%)
OGDC 199.66 Increased By ▲ 4.72 (2.42%)
PAEL 26.65 Decreased By ▼ -0.04 (-0.15%)
PIBTL 7.66 Increased By ▲ 0.18 (2.41%)
PPL 157.92 Increased By ▲ 2.15 (1.38%)
PRL 26.73 Increased By ▲ 0.05 (0.19%)
PTC 18.46 Increased By ▲ 0.16 (0.87%)
SEARL 82.44 Decreased By ▼ -0.58 (-0.7%)
TELE 8.31 Increased By ▲ 0.08 (0.97%)
TOMCL 34.51 Decreased By ▼ -0.04 (-0.12%)
TPLP 9.06 Increased By ▲ 0.25 (2.84%)
TREET 17.47 Increased By ▲ 0.77 (4.61%)
TRG 61.32 Decreased By ▼ -1.13 (-1.81%)
UNITY 27.43 Decreased By ▼ -0.01 (-0.04%)
WTL 1.38 Increased By ▲ 0.10 (7.81%)
BR100 10,407 Increased By 220 (2.16%)
BR30 31,713 Increased By 377.1 (1.2%)
KSE100 97,328 Increased By 1781.9 (1.86%)
KSE30 30,192 Increased By 614.4 (2.08%)

NEW YORK: Gold fell on Tuesday as the dollar firmed and as markets weighed the chances that the US Federal Reserve this week may signal an eventual easing of stimulus.

Spot gold fell 0.5% to $1,855.99 per ounce by 1:55 p.m. EDT (1755 GMT), while US gold futures settled down 0.5% at $1,856.40.

“There’s growing nervousness about rising inflation and the feeling in precious metal markets is that central banks have to start to respond a bit more aggressively to these inflationary pressures,” ED&F Man Capital Markets analyst Edward Meir said.

Meir said while gold could face a “short-lived” setback if the Fed begins tapering by end-2021 or even hints at it on Wednesday, bullion will likely be bought “on the dips” on concerns over rising inflation.

The Fed has repeatedly said that current price spikes are transitory, but its two-day meeting ending on Wednesday could feature initial discussions among policymakers about when and how fast to pare back its massive bond-buying program to address inflation.

Further reducing gold’s appeal, the dollar index firmed after hitting a one-month peak and benchmark yields rose, increasing non-yielding gold’s opportunity cost.

On the physical front, consultants Metals Focus said decreased buying of bullion by exchange traded funds could limit gold demand this year.

Meanwhile, data showed US retail sales fell more than expected in May, while producer prices rose more than expected.

The data also showed a drop in receipts at auto dealerships.

Elsewhere, silver shed 0.8% to $27.62 per ounce, platinum fell 1.4%, to $1,148.37 and palladium rose 0.2% to $2,757.65.

Comments

Comments are closed.