(RTTNews) – Gold prices were moving lower on Monday after posting their first weekly advance since May on reduced expectations for immediate Federal Reserve rate hikes.
Spot gold fell 0.9 percent to $4,139.59 an ounce while U.S. gold futures were up 0.6 percent at $4,150.19.
Brent crude futures traded below $72 a barrel on growing concerns over a potential supply glut. That said, tensions surround the Strait of Hormuz remain elevated as Iran seeks to tighten control over the strategic shipping route.
As talks continue with the U.S, over the long-term management of the waterway, Tehran said it would extend special treatment to Beijing and other friendly nations when it sets fees for ships transiting the waterway.
The U.S. and Gulf Arab states reject any charges on the waterway, keeping the geopolitical risk premium in play.
Meanwhile, the U.S. dollar steadied near a two-week low after posting its biggest weekly drop last week since April on easing inflationary and Fed rate hike concerns.
In economic releases, a slew of index readings from S&P Global and the Institute of Supply Management along with the minutes of the Federal Reserve’s last meeting will be in the spotlight this week following last week’s disappointing June jobs report.
As yields hover near 5 percent, U.S. Treasury auctions for 10-year and 30-year bonds will have implications for crypto and risk assets.
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