Gold Declines for Third Day on Fed Rate Hike Signals

Gold prices fell for a third consecutive day, pressured by signals from the U.S. Federal Reserve (Fed) regarding interest rate hikes. Investors expect the Fed's monetary tightening steps to weigh on non-yielding assets like gold. Recent comments from Fed officials have indicated that interest rates may remain higher for longer as part of the fight against inflation. This has strengthened the dollar and pushed bond yields higher, reducing gold's appeal. Spot gold has been on a downward trend since the start of the week. Investors are closely monitoring the Fed's upcoming meetings and economic data. Markets expect gold prices to remain volatile in the short term amid ongoing uncertainty over the pace of rate hikes. Analysts note that gold's ounce price is technically testing key support levels. However, geopolitical risks and concerns over a global economic slowdown are among factors that could keep demand for gold alive. This is not investment advice.