Gold prices decline slightly after two-day gains

Gold prices slightly decreased on June 1 morning, as markets evaluate the news on the US national debt ceiling, Report informs referring to the auction data.

The price of August futures for gold on the New York Comex exchange fell by $0.75 (0.04%) to $1,981.35 per troy ounce. July futures for silver rose 0.12% to $23.615 an ounce.

The US House of Representatives passed a bill to raise the debt ceiling by a majority vote. After that, the bill will go to the Senate for consideration, and then, if approved by both houses of Congress, for signature by US President Joe Biden.

After positive signals to raise the ceiling of the US government debt, the markets increased expectations of maintaining the rate of the US Federal Reserve System (FRS) in June. According to CME Group, 62.2% of experts expect the key rate to remain at the current level of 5-5.25% per annum.

Gold is sensitive to the monetary policy expectations of the US central bank. It affects the dollar exchange rate, which in turn influences the quotes of the precious metal.