Gold prices rose on Thursday, as longer-term US Treasury bond yields fell alongside the dollar after the Federal Reserve confirmed in its latest policy meeting minutes expectations that interest rates will remain low for some time.
Gold rose in spot transactions 0.3 percent to 1741.85 dollars an ounce. And US gold futures rose 0.1 percent to $ 1742.90 an ounce.
Gold that yields no returns is widely seen as a hedge in the face of rising inflation.
The US central bank’s latest published policy minutes reveal that Fed officials are committed to supporting the economy until a more robust recovery occurs.
A number of policymakers also indicated that they believed that interest rates might need to be raised sooner than expected, but there was no sense of urgency about this issue in the minutes.
Investors are now awaiting a speech by Jerome Powell, Chairman of the Federal Reserve, at a conference call of the IMF later today.
In terms of other precious metals, silver rose 0.3 percent to $ 25.18 an ounce, palladium fell 0.4 percent to $ 2,613.74, and platinum fell 0.1 percent to $ 1224.03.
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