Gold set for 6% monthly fall
Gold prices declined during Wednesday's trading, heading towards recording a monthly loss of more than six percent, due to expectations of a Federal Reserve interest rate hike. Currently, the market is awaiting the Personal Consumption Expenditures (PCE) index data, which could influence monetary policy expectations. The forecasts suggest a possible increase in interest rates in December, reducing gold's attractiveness since it does not generate any yield. Meanwhile, gold futures rose by 0.5%, but the metal is headed for further decline if the data come in higher than expected, amid a strengthening dollar that boosts the likelihood of higher U.S. Treasury yields.
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