Gold prices erased earlier gains to hit a fresh two-week low on Wednesday, as the U.S. dollar firmed after earlier losses amid growing expectations for higher interest rates in the U.S. this year.
Expectations of higher borrowing rates going forward is considered bearish for gold, as the precious metal struggles to compete with yield-bearing assets when rates are on the rise.
On the Comex division of the New York Mercantile Exchange, gold futures for August delivery hit an intraday low of $1,184.10 a troy ounce, the weakest level since May 12, before trading at $1,186.40 during U.S. morning hours, down $1.30, or 0.11%.
Gold prices erased earlier gains to hit a fresh two-week low on Wednesday, as the U.S. dollar firmed after earlier losses amid growing expectations for higher interest rates in the U.S. this year.
Expectations of higher borrowing rates going forward is considered bearish for gold, as the precious metal struggles to compete with yield-bearing assets when rates are on the rise.
On the Comex division of the New York Mercantile Exchange, gold futures for August delivery hit an intraday low of $1,184.10 a troy ounce, the weakest level since May 12, before trading at $1,186.40 during U.S. morning hours, down $1.30, or 0.11%.