Gold Holds Below $4,350 as Bond Yields Rise
Gold trades below $4,350 an ounce after falling nearly 2% in the previous session, with elevated global bond yields, fiscal concerns, inflation pressures and rising oil prices weighing on the metal.
Gold traded below $4,350 an ounce on Wednesday after dropping nearly 2% in the previous session, pressured by elevated global bond yields amid growing fiscal concerns and persistent inflationary pressures.
The 30-year US Treasury yield reached a 19-year high this week, while sovereign yields across other major economies also climbed to their highest levels in decades.
The precious metal also faced pressure from rising oil prices as the US and Iran showed little indication of reaching an agreement to end the conflict and reopen the Strait of Hormuz in the near term.
President Donald Trump said there were no ongoing talks with Tehran, while Iranian forces have intensified attacks on shipping in the Strait of Hormuz.
Investors now await minutes from the Federal Reserve’s July meeting and remarks from Chairman Kevin Warsh at the annual Jackson Hole symposium for fresh clues on the monetary policy outlook.