Gold Declines as Some Fed Officials Favor Raising Rates in June
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Gold declined after minutes from the Federal Reserve’s last meeting showed some policy makers favored raising U.S. interest rates as soon as June.
“Several participants judged that the economic data and outlook” warrant tightening this quarter, according to minutes of the March Fed gathering released Wednesday in Washington. Higher rates boost the appeal of assets with better yield prospects such as bonds and equities, while cutting the allure of gold, which generally offers returns only through price gains.