Gold prices rose from their lowest levels in two weeks, on Wednesday, supported by fears of increasing rates of inflation, but the rise in the dollar and US Treasury yields limited the gains.
And gold rose in immediate transactions 0.3 percent to $ 1842.83 an ounce (an ounce) at 1516 GMT, following it fell earlier in the session to 1827.80, its lowest level since May 19.
US gold futures fell 0.1 percent to $1,846.50 an ounce.
And what makes gold more expensive for holders of other currencies, the dollar index rose 0.3 percent, while US Treasury yields also rose.
Eurozone inflation data was much higher than expected on Tuesday, adding to pressure on the European Central Bank ahead of next week’s monetary policy meeting.
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Investors are also looking to the US non-farm payrolls and inflation data for May for clues regarding the economy and expectations for the path of federal tightening.
Bullion is considered a hedge once morest inflation and a safe haven in times of political and economic uncertainty. However, higher interest rates increase the opportunity cost of holding gold and boost the dollar.
As for other precious metals, the spot silver price rose 1.1 percent to $21.76 an ounce, following hitting its lowest level in two weeks earlier.
Platinum rose 2.6 percent to $989.34, following it jumped 4.4 percent earlier to $1,006.93. Palladium followed their path to rise, and it also increased 0.5 percent to $2,009.93.
(Archyde.com)