Gold prices stable

Gold prices stabilized around $1,890 per troy ounce on February 9 morning, Report informs referring to the auction data.

Investors continue to evaluate the prospects for the policy of the US Federal Reserve System (FRS).

The price of April gold futures on the New York Comex exchange rose by $0.65, or 0.03%, to $1,891.35 per troy ounce. March silver futures rose 0.12% to $22.448 an ounce.

In the absence of strong drivers for gold prices, traders continue to evaluate the Fed’s further steps on the rate. Earlier this week, the head of the regulator, Jerome Powell, noted a slowdown in inflation, but spoke in favor of a further increase in the discount rate.

As a result, according to CME Group, 90.8% of analysts in March again expect a rate increase by 25 basis points to 4.75-5% per annum. The US regulator raised rates seven times last year amid record inflation, including four 75 basis point increases and a 50-basis point hike in December. In February of this year, the rate was already increased by 25 basis points.

Gold is sensitive to the Fed’s signals, which affect the dollar. Hawkish sentiment has traditionally supported the dollar, making gold less available to buy in another currency, and vice versa.

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