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Gold prices retreated on Thursday as the U.S. dollar and bond yields powered higher after the Federal Reserve signalled another rate hike this year and a tighter monetary policy through 2024 than previously expected.

FUNDAMENTALS

* Spot gold slid 0.3% to $1,924.68 per ounce by 0059 GMT, while U.S. gold futures tumbled 1.1% to $1,944.90.

* Spot gold prices on Wednesday hit their highest since Sept. 1 before the U.S. Fed revised its economic projections with higher-for-longer rate warnings.

* The U.S. dollar index climbed 0.4% to its highest since March 9, while two-year Treasury yields rose to 17-year high after the Fed held interest rates steady on Wednesday but stiffened a hawkish monetary policy stance. [USD/] [US/]

* Higher interest rates discourage the buying of non-interest-paying bullion, which is priced in dollars.

* The Fed sketched a stricter policy path moving forward in an inflation fight they now see lasting into 2026, but believe they can succeed in lowering inflation without wrecking the economy or leading to large job losses.

* The Bank of England will announce later in the day whether it is halting a run of interest rate hikes that stretches back to December 2021, a day after signs that it had turned a corner in tackling Britain's high inflation problem.

* SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.1% to 878.25 metric tons on Wednesday. [GOL/ETF]

* Russia's gold reserves stood at 75.0 million troy ounces as of the start of September, the central bank said on Wednesday.

* Spot silver fell 0.7% to $23.07 per ounce, platinum slipped 1.1% to $918.79 and palladium dropped 1.8% to $1,251.21.

DATA/EVENTS (GMT)

0645 France Business Climate Mfg, Overall Sept

1100 UK BOE Bank Rate Sept

1230 US Initial Jobless Clm Weekly

1230 US Philly Fed Business Indx Sept

1400 EU Consumer Confid. Flash Sept

1400 US Existing Home Sales Aug