Gold slips towards $4,050 amid hawkish Fed bets

Gold prices edged lower towards $4,050 an ounce in electronic trading on Monday as renewed US-Iran hostilities lifted crude oil prices, stoking inflation concerns and reinforcing expectations that the Federal Reserve could deliver another interest-rate hike this year. Sentiment was further shaped by the Fed's June meeting minutes, which indicated that some policymakers saw a case for tighter monetary policy, while investors now await this week's US inflation data and Fed Chair Kevin Warsh's congressional testimony for fresh guidance on the interest-rate outlook. Reflecting the weakness in global bullion markets, MCX August gold futures declined by more than Rs 1,000 to around Rs 1,42,403 per 10 grams.

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