GOLD PRICES TODAY: YELLOW METAL HITS OVER TWO-WEEK LOW ON EASING MIDDLE-EAST CONCERNS, SILVER PRICES LITTLE CHANGED

Gold prices extended losses for a second day to hit a more than two-week low on Tuesday, April 23, as diminishing fears about an escalation of tensions in the Middle East prompted investors to book profits ahead of key US economic data this week.  Spot gold fell 0.3 per cent to $2,318.90 per ounce after earlier hitting its lowest since April 5. Bullion's March to April rally drove it up by nearly $400 to an all-time high of $2,431.29 on April 12, according to news agency Reuters.

US gold futures slipped 0.6 per cent to $2,331.80. Israeli strikes intensified across Gaza in some of the heaviest shelling in weeks, but with fears of a wider conflict receding after Iran said last week it had no plan to retaliate following an apparent Israeli drone attack, financial markets showed signs of sharper appetite for risk.

According to analysts, this has meant gold, which is traditionally seen as a haven from risk, has lost ground. The market is also closely monitoring signals from the US, where inflation data and statements from the US Federal Reserve indicate that interest rates may not be cut in June. 

Recent remarks from US Fed officials hinted at no urgency to cut rates, reducing the appeal of non-interest paying bullion. Traders now expect the first Fed rate cut to come most likely in September. The market will keep a tab on US GDP data due on Thursday and the Personal Consumption Expenditures (PCE) print on Friday for more clues on the health of the economy and the timing of cuts.

2024-04-23T16:45:50Z dg43tfdfdgfd