Gold prices revised on Monday, May 29, after reaching a preliminary agreement regarding the suspension of the US debt ceiling at the beginning of the week, as fears of continuing to raise interest rates for a longer period undermined the appetite for the non-interest-bearing precious metal.
Gold in spot transactions fell 0.1% to $1944.09 an ounce, hovering near the lowest level in two months it reached on Friday, and there was little change in US gold futures contracts, which recorded $1943.30 an ounce.
Gold was negatively affected as a safe-haven asset after US President Joe Biden said yesterday, Sunday, that he had finalized a budget agreement with House Speaker Kevin McCarthy that includes suspending the debt ceiling of $ 31.4 trillion until January 1, 2025, and added that the agreement is ready for presentation to Congress. to vote on it.
In addition, data on Friday revealed that consumer spending in the United States increased more than expected in April and that inflation accelerated.
This report enhanced the chances of raising US interest rates by 25 basis points in June to 65.3% and to remain at this level for the rest of the year.
The dollar index rose, which makes gold more expensive for holders of other currencies.
As for other precious metals, silver fell 0.2% to $23.26 an ounce.
Platinum rose 0.1% to $1,023.83 an ounce.
Palladium rose 0.3% to $1,428.07 an ounce.
