Gold futures closed higher on Monday (July 18) as the depreciation of the dollar boosted the market. Markets were also boosted by expectations that the Federal Reserve will not raise interest rates by 1% at its meeting this month.
- The gold futures were up $6.6, or 0.39%, at $1,710.2 an ounce.
- Silver futures were up 24.6 cents, or 1.32%, at $18.84 an ounce.
- The platinum contract rose $25.1, or 3.02%, at $856 an ounce.
- The palladium contract was up $19.70, or 1.1%, at $1,849.10 an ounce.
Gold contracts were supported by the depreciation of the dollar. The dollar index fell 0.64% against the six major currencies in a basket of currencies to 107.3660. The weakening of the dollar would help make gold contracts cheaper for investors holding other currencies.
The gold market was also driven by forecasts that the Fed will not raise interest rates by 1% at its July 26-27 meeting, after senior Fed officials endorsed a rate hike of just 0.75% at their meeting the same day.
Meanwhile, the CME Group’s FedWatch tool shows that only 33.2% of investors think the Fed will raise rates by 1.00% at its July 26-27 meeting, while 66.8% think the Fed will raise rates by 0.75%.
Previously, investors assumed 80% that the Fed would raise rates by 1.00% at its July 26-27 meeting and 20% that the Fed would raise rates by 0.75%.
The Spot Market is Open
Tuesday, July 19, 2022
| Metals Updated at | USD Bid/Ask | Ounce Change | Low/High |
| Gold 11.30 | 1,709.10 1,710.10 | -0.20 -0.01% | 1,705.20 1,711.30 |
| Silver 11.30 | 18.67 18.76 | -0.03 -0.16% | 18.57 18.83 |
| Platinum 11.25 | 860.00 870.00 | -6.00 -0.69% | 857.00 879.00 |
| Palladium 10.55 | 1,802.00 1,952.00 | +20.00 +1.12% | 1,778.00 1,959.00 |
| Rhodium 05.00 | 13,600.00 15,600.00 | 0.00 0.00% | 13,600.00 15,600.00 |