Gold lost ground in the shadow of the rally of odds

Gold fell on Tuesday as initial gains in the precious metal vanished after a new jump in US bond yields amid growing worries about the Fed’s ability to curb an unstoppable rally in inflation.

In particular, the June delivery of gold lost $ 6.50 or 0.3% and closed at $ 1,927.50 per ounce, after rising 0.5% yesterday.

The 10-year US yield climbed to 2.55% today from 2.409% on Monday afternoon.

Federal Reserve chief Lael Brainard called the work of reducing inflationary pressures “of paramount importance,” and said in a speech to the Minneapolis Fed that the central bank would begin shrinking its balance sheet as early as next month.

The Fed’s monetary policy committee “will continue to tighten monetary policy in a methodical way, through a series of rate hikes and starting to cut the balance sheet rapidly, even from the May meeting,” Brainard said. “Given the fact that the recovery is significantly stronger and faster than the previous cycle, I expect the balance sheet to shrink significantly faster than in the previous recovery,” he added.

The next meeting of the Federal Reserve is on May 3-4.

At the same time, May silver lost 6 cents, or 0.2%, to $ 24,534 an ounce. Copper made a profit, with the May contract up 0.3% to $ 4,795 a pound.

As for the course of other metals, platinum in July lost 1.8% to $ 973.10 per ounce, while palladium in June also fell 1.8% to $ 2,235.30 per ounce.