Gold prices fell on Monday in the first trading week with the rise of the US dollar for the third consecutive day against a basket of currencies, and prices benefited from the decision to cut interest rates for the third time in six months in China’s largest consumer of the metal in the world, and continued significant investment funds to reduce holdings of gold It lost its luster after the yellow metal as a safe investment assets.
Gold is trading by 09:13 GMT, around $ 1185.36 per ounce from the time the opening level of $ 1189.54, and recorded the highest at $ 1190.20 and the lowest at $ 1184.00.
The yellow metal has achieved a rise of 0.3 percent at the close of trading on Friday after two days of losses, and achieved an altitude of about 0.8 percent over the week, the first weekly gain since late last March.
The dollar index, which tracks the greenback’s performance against a basket of major and minor currencies by about 0.5 percent in a wave of gains for the third day in a row increased support expectations near the Federal Reserve to raise interest rates after the rise in new jobs sector non-agricultural in the United States during the past month and a lower rate unemployment to its lowest level in seven years.
PBOC “said the central bank” on its Web site yesterday Sunday he cut the deposit rate for one year by 25 basis points to 2.25 percent and the lending rate for one year to 5.1 percent as of 11 May, the Bank and Oaaz this decision to support the economic recovery and achieve targeted annual growth.
Gold holdings at SPDR Gold Trust Fund the world’s largest gold-backed funds indices fell on Friday by 10.75 metric tons, the biggest decline in a single day during this year, to reach total holdings 728.32 metric tons, the lowest level since December last January second.