Gold drops for fourth straight session as Fed rate hike now seen likely
Gold for immediate delivery was trading at a three-week low of f $1,137.8 an ounce in London mid-morning, down 0.36% from its opening price of $1,141.59 per once. On the Comex in New York, bullion prices opened slightly below $1,138 per ounce, sliding down to $1,133.9 at 10:30 ET.
Until recently, investor agreed that the likelihood of a rate rise this year was low. But the Fed’s comments last week made many to change their minds, sending gold prices to a four-week low, the biggest drop since August.
This week, investors will be have their eyes on US monthly non-farm payrolls data, to be released Friday and US Fed Chair Janet Yellen testimony before the US House Financial Services Committee Tuesday.