| Gold fell, trading near a five-year low, as Goldman Sachs Group Inc. said rising U.S. interest rates may lead to deeper losses. A government report Monday showed American households kept spending in June, capping a stronger quarter for the biggest part of the economy, as incomes rose. The Federal Reserve signaled last week that it will probably raise rates this year as the labor market improves.
Goldman in a report Monday reiterated that gold may fall below $1,000 an ounce, or more than 8 percent below Monday’s closing futures price. Gold tumbled to a five-year low in July as Fed Chair Janet Yellen said the central bank is on track for raising rates for the first time since 2006, curbing the appeal of gold because it doesn’t pay interest like assets such as equities...............................................Full Article: Source
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