Gold prices rise after announcement of partial mobilization in Russia

Gold prices rose after Russia announced a partial mobilization, Report informs.

This fueled interest in gold as a safe-haven asset, but a strong US dollar and an expected hike in interest rates by the Federal Reserve (Fed) limited room for further growth.

Gold was offered on the spot market with an increase of 0.7%, at $1,673.91 per ounce, and gold futures grew 0.7% to $1,682.60.

09:57

Gold prices are slightly falling on September 21 morning, trading at $1,670 per troy ounce, as markets are waiting for the outcome of the US Federal Reserve (FRS) meeting, Report informs referring to the auction data.

The price of December futures for gold on the New York Comex exchange fell by $0.75, or 0.04%, to $1,670.35 per troy ounce. December silver futures rose 0.49% to $19.277 an ounce.

The strengthening of the US dollar is somewhat holding back gold. The dollar index (the exchange rate against a basket of currencies of six countries - US trading partners) rose by 0.05%, to 110.27 points, returning to a level above 110 points. The index rose 0.6% on September 20. A stronger dollar makes gold less available to buy in other currencies.

The main event of the week is the Fed meeting. On September 21 evening, the regulator will announce its decision on the key rate, update macroeconomic forecasts, and then its chairman Jerome Powell will speak, from whom markets will be waiting for signals about further Fed measures.