The organization of the petroleum exporting countries (OPEC) and non-OPEC oil producers (Russia) will meet on July 1-2.
Gold slumps, approaching a year’s minimum
On Thursday, gold dived, getting back to a minimum since December in the face of the diving American currency as well as the yield of US government bonds.
June delivery gold futures fell 0.27% on the Comex exchange hitting $1,288.60 per troy ounce. During the night trading, the number one precious commodity recorded a maximum of $1293.70 per troy ounce.
On Wednesday, prices for the most popular yellow metal fell to $1285.7 that was the lowest value since December 27.
Gold slumped due to forecasts of a faster rate of hike in the interest rate of the Federal Reserve, which caused a lift in the yield of US bonds and the greenback.
Increasing the revenue of treasury bonds can potentially provoke a dive in demand for gold as well as other raw materials, which don’t bring profit. The appreciation of the evergreen buck makes gold less accessible to those people, who hold other currencies.
The US dollar index, demonstrating the purchasing potential of the evergreen buck versus its six major rivals, showed 93.21, staying close to the maximum of five months - 93.52 that was achieved on Wednesday. As a matter of fact, since the beginning of this week, the US dollar index has tumbled by nearly 0.93%.
During night trading, the revenue of 10-year American government bonds rose to 3,117%, which is the highest result since 2011. By the way, the profitability of bonds turns to be inversely proportional to their value.
Surge in the revenue of American Treasury bonds has been observed since the Federal Reserve uncovered in May that inflation is getting closer to the goal of 2%.
As for other commodities, silver futures rallied 0.37%, reaching $16.37 per troy ounce, platinum futures kept to $899.20, while copper futures added 0.24% being worth $3,078 per pound.
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