Gold price decline continues amid rising interest rates and dollar recovery

According to Investing.com, the dollar rebounded ahead of a widely anticipated Fed interest rate hike, which led to gold prices declining.

As caution kicks in ahead of the Federal Reserve meeting, precious metals prices could fall further. In addition, the central bank is expected to raise interest rates by 75 basis points.

At the same time, the Fed's outlook on monetary policy will be closely monitored, which could lead to the central bank softening its hawkish stance.

Markets are mixed over the possibility of raising the Fed by 50 basis points in December is ambiguous. This attitude of the markets is explained by the possibility that high interest rates are likely to erode economic growth.

However, US interest rates are at their highest levels since the 2007–2008 financial crisis. In addition, it is expected that in the coming months the rates will keep the dollar upbeat.