Muscat: Gold prices fell today as the dollar strengthened to its highest level in more than a year on expectations of US interest rate hikes, while investors weighed conflicting signals from US-Iran negotiations. Spot gold declined 0.5 percent to $4,087.68 per ounce, its lowest since 11 June, while US gold futures for August delivery fell 1.1 percent to $4,105.40 per ounce. A stronger dollar made gold more expensive for holders of other currencies.
According to Oman News Agency, traders now expect three rate hikes from the Federal Reserve this year, as indicated by the CME's FedWatch tool. Investors are awaiting US personal consumption expenditure data - the Federal Reserve's preferred inflation gauge - due tomorrow for further clues on the policy path. Spot silver fell 1.1 percent to $61.36 per ounce, platinum declined 0.9 percent to $1,637.34 per ounce, and palladium fell 1.2 percent to $1,223.29 per ounce.