Gold prices rose on Wednesday, but closed with the biggest monthly low in more than 4 years, as investors remained cautious awaiting data on the labor market in the United States that could intensify fears of a reduction in purchases of gold. Federal Reserve assets.
Spot gold rose 0.4% to $ 1,768.78 an ounce, after hitting its lowest level since April 15 at $ 1,749.20 an ounce on Tuesday. In the month, the price of gold accumulated a fall of 7%, its worst performance since November 2016.
Bullion prices are being pressured by the Fed's change of discourse regarding a future tightening of monetary policy.
"The dollar is recovering and the S&P 500 has consistently hit new all-time highs," said Phillip Streible, chief market strategist at Blue Line Futures in Chicago. The dollar index rose 0.4%, making gold more expensive for holders of other currencies.
Additionally, aggressive Fed officials have reaffirmed that they will raise rates in 2023 and begin reducing bond purchases. "These are all things that gold investors hate," Streible added.
Investors are awaiting job creation data in the United States on Friday, which is expected to show an increase of 690,000 jobs in June, compared with 559,000 positions in May, according to a Reuters poll of economists.
