Gold prices drifted lower on Monday, pushing the most active gold futures contract to its lowest close in a week, due to a firm dollar and higher yields on U.S. Treasury Bonds.
Bond prices fell reacting to Federal Reserve Chairman Jerome Powell’s comments on Sunday that the central bank wants to see inflation rise above its 2% target for an extended period before the monetary policy committee considers a revision in rates.
Traders were also looking ahead to the inflation data, due out on Tuesday.
Gold futures for June ended down $12.10 or about 0.7% at $1,732.70 an ounce, the lowest close since last Monday (April 5).
Silver futures for May ended lower by $0.458 or 1.8% at $24.867 an ounce, while Copper futures for May settled at $4.0185 per pound, down $0.0215 or 0.5% from previous close.
On the data front, reports on consumer prices, retail sales, industrial production and housing stocks are due this week.
The Federal Reserve is scheduled to release its Beige Book, a compilation of economic evidence from the twelve Fed districts.
The material has been provided by InstaForex Company – www.instaforex.com