How big a threat is Fed tightening to gold prices?

If nothing else changes, earlier hikes in interest rates by the US central bank would be likely to undermine the prices of precious metals, notably gold and silver. The 2% fall in the gold price after the strong US employment report today underlines the risks. However, if Fed tightening is gradual and interest rates remain low by past standards, as we expect, there would be plenty of scope for other, more positive factors to dominate.