Gold prices stabilized today, Tuesday, as participants in market operations continued to refrain from trading ahead of the release of inflation data in the United States, which is expected to shed more light on the recovery in the world’s largest economies.
Gold was little changed in spot transactions, to be by 0354 GMT at $ 1731.69 an ounce, while the rise in US Treasury bonds yields support coming from expectations of rising inflation. US gold futures also settled at $ 1732.80 an ounce.
“Gold is supported by expectations of inflation numbers that are higher than the data due to be released later,” said chief global market analyst at financial services company Axi Stephen Ins.
A survey published by the Federal Reserve Bank of New York on Monday concluded that US consumer expectations of inflation rose again in March after gradual increases in recent months, and that it has become more positive about the labor market.
“It is difficult to imagine that gold will not rise today if the data shows an increase in inflation, but there is a high possibility that it will bounce off this path later this week if the retail sales data showed positive on Thursday,” said Ins.
And putting pressure on gold, the yields of US Treasury bonds rose, which increases the opportunity cost of acquiring the metal that does not generate a return.
As for the other precious metals, silver stabilized at $ 24.83 an ounce, while palladium rose 0.2 percent to $ 2,680.20 an ounce, and platinum fell 0.2 percent to $ 1168.13.
Follow our latest local and sports news, and the latest political and economic developments via Google news