Comex gold contract Delivered in Dec. Down $2.20 to close at $1,654.10/oz.
A rebound in US Treasury yields will increase the opportunity cost of holding gold. Because gold is an asset that does not return in the form of interest.
However, gold prices were supported by the depreciation of the dollar. which will increase the attractiveness of gold by making gold contracts cheaper for holders of other currencies
Investors lowered expectations that the Fed will raise interest rates by 0.75% at its monetary policy meeting in December. Notified that Fed officials began voicing concerns about the impact of accelerating interest rates.
Meanwhile, markets are eyeing the release of third quarter gross domestic product (GDP) figures for the US on Thursday.
The Atlanta Fed revealed that its latest GDPNow forecast model shows that the US economy grew by 2.9% in the third quarter.
The Atlanta Fed will report new GDPNow forecasts on October 26, before the US Commerce Department releases third-quarter GDP figures on October 27.
Earlier, the US Commerce Department said the US economy contracted 1.6 percent in the first quarter and 0.6 percent in the second quarter. putting the United States into a technical recession.
