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Gold is poised to post its second monthly loss despite a minor price bump Tuesday that drove spot prices up 0.2 percent, to $1,188.60.
Gold is poised to post its second monthly loss despite a minor price bump Tuesday that drove the spot price up 0.2 percent, to $1,188.60 per ounce. Gold for April delivery similarly gained 0.3 percent to hit $1,188.50 an ounce.
The metal’s decline over the past two months is largely related to investor anticipation of a Federal Reserve interest rate hike, according to Reuters, and despite Tuesday’s slight price increase, gold will probably fall further as the year progresses.
“Our best case scenario is a June rate hike and in the interim there is certainly scope for more weakness in gold,” said Nic Brown, an analyst at Natixis SA (EPA:KN).
