Precious Metals Preview: Gold Sees Further Downside

13 Oct 2022 , 08:39 AM

Gold continues to stay under pressure although the momentum of decline has eased on Thursday, as dollar is seen pausing its relentless rally in early Asia today. Dollar has been on an uptrend following hawkish remarks from the Federal Reserve to continue on rate hiking spree that led benchmark treasury yields to 4% mark and dragged the greenback higher. The dollar index that measures the greenback against a basket of currencies is seen just below its recent peaks and currently quoting at 113.27. Minutes of the Feds September meeting, released on Wednesday, showed that policymakers unanimously agreed to push monetary policy into restrictive territory, and are likely to keep interest rates high for a longer period as the central bank struggles to bring down inflation. Meanwhile, markets are awaiting US inflation data that would provide further cues to onward action by Fed. COMEX gold is down 0.11% at $1675.65 an ounce. Powered by Commodity Insights