Gold falls to near one-year low as rate-hike fears loom
Updated: 21 Jul 2022, 11:10 AM IST
TL;DR.Although gold is seen as a hedge against inflation, rising interest rates increase the opportunity cost of holding bullion, which pays no interest.
FILE PHOTO: A tourist is seen reflected in perspex as he views a bar of gold bullion in the museum of the Bank of England in London. Photograph taken on March 25, 2008. REUTERS/Luke MacGregor/File Photo