Gold falls 0.4% to $4,149.79 as investors await Fed minutes

Gold fell 0.4% to $4,149.79 a troy ounce in early Asian trade as investors awaited the Federal Reserve's meeting minutes due this week.

"Gold prices are at risk after successive sessions of gains, with the yellow metal remaining on a downward trend since the start of the year," Somesh Kapuria, analyst at Hola Prime, said. A stronger dollar is also weighing on the precious metal, he added.

The decline comes ahead of the Federal Open Market Committee minutes from the June 11-12 meeting, scheduled for release Wednesday. The minutes will offer insight into policymakers' views on the rate path after soft June jobs data showed nonfarm payrolls rose 206,000, below the 190,000 consensus estimate, while the unemployment rate edged up to 4.1%, according to the Labor Department. CME Group's FedWatch Tool pegged the probability of a September rate cut at roughly 72% following the release. The 10-year Treasury yield slid to about 4.28% after the data, reducing the opportunity cost of holding non-yielding bullion.

The FOMC minutes are likely to be important for shaping the near-term path for Treasury yields and, by extension, gold, Kapuria said. A hawkish tone could strengthen the dollar and push yields higher, adding further pressure on gold, while a dovish signal may offer temporary relief. COMEX gold has traded lower since the start of the year, with the current level about 3% below its 2026 peak.

This article is for informational purposes only and does not constitute investment advice.