(Reuters) – Investors were waiting for policymakers’ reports at the Federal Reserve (US Federal Reserve) on Monday on whether to cut monetary stimulus measures as US bond yields rise and fall. This mitigated the effects of the infection.
It saw little change, hitting $ 1,750.51 an ounce by 0912 GMT, while the U.S. gold futures were down 0.1 percent at $ 1,750.20.
Ten-year yields hit a three-month high, lowering the attractiveness of the yellow metal and raising its holding cost, and the dollar soaring, creating additional pressures.
“Gold seems to have entered a long-term stagnation and has not been able to move in any direction due to the 10-year bond yield and strong dollar echo,” said independent analyst Rose Norman.
Gold is a defense against rising inflation, which can be caused by widespread stimulus and currency depreciation. An increase in interest rates raises the cost of holding non-refundable gold.
Investors have been closely watching the progress of Chinese real estate firm Evergrande since it missed the deadline to pay bond interest last week.
Stephen Innes, Associate Director, SBI Asset Management, said the Central Bank of China continues to inject cash into the markets, indicating some risk in the market, which has provided some support for gold.
Among other precious metals, it rose 0.4 percent to $ 22.50 an ounce, platinum 0.1 percent to $ 982.82 an ounce and rose 0.4 percent to $ 178.93.
(Produced by Salma Najm for Arabic Newsletter – Edited by Suha Jato)
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