Gold Slips In Asia

Published on Apr 27, 2022 13:10

Gold was down in Asia on Wednesday, tracking massive strength in the US dollar. Gold fell below $1900 mark as dollar soared to fresh two-year highs to hit 102 as risk appetite waned amid expectations of aggressive Fed rate hike and growing worries of slowing growth in China and Europe. The counter is currently quoting at $1898.50. The dollar index, which measures the greenback against a basket of six major currencies, hit a high of 102.39 overnight, the strongest it has been since March 2020. The index was heading for its best month since 2015. Federal Reserve Chairman Jerome Powell signalled the central bank was likely to raise interest rates by a half percentage point at its meeting next month and indicated similar rate rises could be warranted after that to lower inflation. Meanwhile, China Covid concerns after authorities in Beijing expanded virus testing to most of the city and raised concerns about a lockdown of the capital also kept investor sentiments at bay, supporting the greenback further.