Gold falls below $4,700 as dollar strength weighs on bullion

Gold futures fell more than 1% below the $4,700 per ounce mark in electronic trading on Monday as a stronger US dollar and rising interest rate concerns pressured bullion prices. Sentiment weakened after President Donald Trump rejected Iran?s response to a proposed peace deal, reducing hopes for a near-term resolution to the Middle East conflict. Investors are now focused on upcoming US inflation data, as elevated oil prices and ongoing disruptions in the Strait of Hormuz continue to fuel inflation concerns globally. This has strengthened expectations that central banks could maintain tighter monetary policy for longer, weighing on non-yielding assets like gold. Meanwhile, the US dollar index rebounded toward the 98 level, adding further pressure on precious metals. Reflecting the global weakness, MCX June gold futures traded 0.3% lower at Rs 1,52,082 per 10 grams.

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