Gold Falls as Nervous Investors Look for Safety in the Dollar

The US currency increased significantly, while US stocks declined due to global unrest and concerns over earnings results.

Bullion is valued in US dollars, thus a higher dollar weighs on its price, which fell as much as 1.7%.

The asset has been affected by the Federal Reserve's relentless tightening throughout the year, leading to a 19% decline from its year-high in March.

The employment report released on Friday confirmed predictions that the US central bank will keep raising interest rates to combat inflation.

According to Rupert Rowling, a market analyst at Kinesis Money, "the result of these continually growing rates has been to make gold.

A less appealing commodity to own with its lack of income making other interest-paying assets like bonds more attractive in its stead."


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