On Wednesday, gold prices stabilized as the decline in yields on US Treasury bonds offset some of the effects of the dollar’s rise, with traders eagerly awaiting important inflation data and statements from US Federal Reserve officials to gauge the expected timing of interest rate reductions.
Gold settled in spot transactions at $2,030.12 per ounce, while US gold futures contracts experienced a 0.2 percent decline, reaching $2,039.40 per ounce, reports Al-Jarida daily.
The yield on ten-year US Treasury bonds decreased to 4.2855 percent from 4.3150 percent on Tuesday, while the dollar index increased by 0.2 percent.
Market participants are particularly anticipating the release of gross domestic product (GDP) data in the United States. Additionally, data on personal consumption expenditures, which is the preferred inflation indicator for the Federal Reserve, is scheduled to be announced today.
Low interest rates typically bolster the desire to hold gold, as the precious metal does not offer a yield. In terms of other precious metals, platinum experienced a 0.3 percent decline in spot transactions, reaching $885.60 per ounce, while palladium saw a roughly one percent decrease to $927.04 per ounce. Silver also fell by 0.1 percent to $22.40 per ounce.
