Title: Gold Up on Softer Dollar Ahead of Fed Meeting
Jul 25, 2022 11:34PM ET
Gold rose Tuesday morning in Asia on the back of a weaker dollar, but prices remained in a narrow range as investors focused on a possible U.S. interest rate hike.
Gold futures were up 0.27% to $1,723.75 at 23:31 ET (3:31 AM GMT).
The dollar, which normally moves inversely to gold, was down Tuesday morning. The dollar fell for a fourth straight session, down 0.1% against a basket of major currencies, as investors weighed the implications of an impending rate hike by the U.S. Federal Reserve.
The Fed concludes its two-day meeting on Wednesday, when it is expected to raise interest rates by 75 basis points.
Elsewhere, the European Central Bank (ECB) joined its global counterparts in curbing rising inflation and raised interest rates by 50 basis points. It is expected to make another hike until inflation returns to its 2% target.
The SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.06% to 1,005.29 tons on Monday, down from 1,005.87 tons on Friday.
In other precious metals, silver rose 0.51%. Platinum was up 0.92% and palladium was up 0.09%.