KONTAN.CO.ID - JAKARTA. Gold prices slipped on Tuesday to their lowest in more than two weeks, weighed down by a firm U.S. dollar and Treasury yields as expectations of a swift economic turnaround grew with vaccination rates gaining traction. Bullion, often sought as a safe store of value in times of economic turmoil, is sensitive to rising yields as they raise the opportunity cost of holding non-yielding gold. Spot gold was down 0.3% at $1,706.86 per ounce by 0326 GMT. Earlier in the session, bullion touched $1,704, its lowest since March 12. U.S. gold futures were down 0.4% at $1,708 per ounce. "Primary weighing factor on gold prices is the continuous rise in the U.S. long-term yields," said DailyFX strategist Margaret Yang, adding that although gold prices should rise being an inflation hedge, there is a constant decline in prices.
Gold prices at over 2-week low as U.S. yields, dollar strengthen
KONTAN.CO.ID - JAKARTA. Gold prices slipped on Tuesday to their lowest in more than two weeks, weighed down by a firm U.S. dollar and Treasury yields as expectations of a swift economic turnaround grew with vaccination rates gaining traction. Bullion, often sought as a safe store of value in times of economic turmoil, is sensitive to rising yields as they raise the opportunity cost of holding non-yielding gold. Spot gold was down 0.3% at $1,706.86 per ounce by 0326 GMT. Earlier in the session, bullion touched $1,704, its lowest since March 12. U.S. gold futures were down 0.4% at $1,708 per ounce. "Primary weighing factor on gold prices is the continuous rise in the U.S. long-term yields," said DailyFX strategist Margaret Yang, adding that although gold prices should rise being an inflation hedge, there is a constant decline in prices.