recent market news
Gold Prices Swing Downward Amidst Fed Reserve Stance
In today's closing commodities update, gold fell by 0.18% to 51805 INR per half-kg. In global markets, gold fell by 0.31% to $1931.75 per troy ounce. The XAU/USD spot rate gained by 0.02% to $1932.13 per troy ounce.
The Federal Reserve's announcement of planning to reduce its balance sheet by offsetting bonds, which will spike up bond yields, is credited as the major reason precious metal stocks have slumped today. Also, the Reserve Bank of India leaving the repo rate unchanged in today's monetary policy update softens the blow that was initially projected to hit gold hard.
Investors should remain bearish on the commodity as the short-term future does not look bright even as the Russia-Ukraine conflict goes on.