Reuters Graphics"There is a reckoning that interest rates are going to be higher for much longer, which has been the bearish element in the precious market.
Gold prices could go below $1,800 in the near-term," said Jim Wyckoff, senior analyst at Kitco Metals.
The appreciation of the U.S. dollar may not end anytime soon, pressuring the gold market."
Traders are pricing in a 55% chance that the Federal Reserve will leave interest rates at the current range of 5.25%-5.50% this year, according to CME's FedWatch tool.
Since powering above the key $2,000-per-ounce level in early May, gold prices have fallen more than 11%, or $230, pressured by a sharp rise in benchmark U.S. Treasury yields, which makes the non-yielding gold less attractive.
Persons:
Silver, Fed's Bowman, Jim Wyckoff, Michelle Bowman, Tai Wong, Jerome Powell's, Ashitha, Nick Macfie, Christina Fincher
Organizations:
Reuters, Kitco Metals, U.S, U.S ., Federal Reserve, Treasury, Thomson
Locations:
New York, Bengaluru