Jan 17 (Reuters) – Gold prices fell on Tuesday as the dollar ticked up, while investors still sought direction from the U.S. Federal Reserve’s rate hike path.
Spot gold fell 0.6% to $1,906.49 per ounce by 1117 GMT. The metal closed lower on Monday, after having risen to its highest since April 2022.
U.S. gold futures dropped 0.6% to $1,909.30.
The dollar index gained 0.2%, making gold more expensive for overseas buyers, while benchmark 10-year yields also rose.
“Technical factors are also weighing on the precious metal, with prices attempting to pull away from overbought levels to clear some of the froth after gold’s stellar start to the new year,” said Han Tan, chief market analyst at Exinity.
Analysts, however, predicted gold could hit record highs above $2,000 this year as the Fed slows hikes and eventually stops them.
Markets are expecting a smaller…
