"Gold rose for a third consecutive session on Tuesday, while Treasury yields continued to decline. Comments from the Federal Reserve's Chair helped ease market expectations regarding a potentially tighter monetary policy."
"A continued slide in yields could help lift gold, although ongoing concerns about inflation could remain a source of risks for the metal. Elevated geopolitical tensions globally could continue to fuel demand for safe-haven assets."
"Investment flows remain unfavourable. Gold-backed ETFs continue to see sustained outflows, with last week alone seeing withdrawals across all major regions with a total of around 34 tonnes."
"Looking ahead, gold could remain exposed to the developments in the Middle East and their impact on inflation expectations in the near-term. Additionally, upcoming US economic data could also influence monetary policy forecasts and the performance of gold."
Gold prices rose for a third consecutive session, supported by declining Treasury yields and comments from the Federal Reserve's Chair that eased monetary policy concerns. Despite this, inflation risks and geopolitical tensions continue to drive demand for gold as a safe-haven asset. However, investment flows are negative, with gold-backed ETFs experiencing significant outflows. Concerns about central banks selling gold to defend currencies also weigh on the market. Future gold performance may depend on Middle East developments and upcoming US economic data.
Read at London Business News | Londonlovesbusiness.com
Unable to calculate read time
Collection
[
|
...
]