Gold is losing its allure as investors brace for higher interest rates, the Wall Street Journal reported.
Prices of the precious metal have fallen 4.9% from their recent high on July 10, as a string of upbeat U.S. economic reports has bolstered the case for tighter U.S. monetary policy. On Thursday, gold posted its steepest decline in over a month as investors left the market ahead of Friday’s speech by Federal Reserve Chairwoman Janet Yellen at a gathering of central bankers in Jackson Hole, Wyo.
Decreasing 1.7 percent made US palladium bar the biggest mover of the day, finishing at $864.00 per ounce on Thursday, August 21. At CNY 190.00 ($30.95) per gram, Chinese palladium bar fell 1.6 percent yesterday. The price of Japanese palladium bar held steady at JPY 2,900 ($27.96) per gram.
Chinese platinum bar prices weakened by 1.3 percent, settling at CNY 299.00 ($48.70) per gram. This marked the fifth day in a row of declining prices and the drop-off has accelerated since Friday, August 15. The price of US platinum bar fell 0.8 percent to $1,422 per ounce. Japanese platinum bar held its value on Thursday at JPY 4,773 ($46.02) per gram.
The price of Indian gold bullion declined 0.8 percent to INR 28,106 ($463.38) per 10 grams. Chinese gold bullion ended the day at CNY 254.75 ($41.49) per gram, after the 0.8 percent drop on Thursday. Japanese gold bullion prices saw a 0.7 percent decline to JPY 4,270 ($41.17) per gram. The price of US gold bullion fell 0.3 percent to $1,291 per ounce.
Following a two-day drop, the price of Chinese silver increased by 0.5 percent to CNY 4,195 ($683.25) per kilogram. Following a 0.2 percent rise on Thursday, the price of US silver closed at $19.45 per ounce. Indian silver ended the day at INR 42,288 ($697.20) per kilogram, after the 0.1 percent drop on Thursday. At JPY 636.00 ($6.13) per 10 grams, the price of Japanese silver was essentially unchanged.