Gold futures prices ticked higher early Thursday after seeing their longest losing streak in six years as the yellow metal faces pressure from rising global bond yields and a stronger U.S. dollar.
Price Action
- Gold futures for December delivery were higher by $1.50, or 0.1%, to $1,929 on Comex. On Wednesday, the yellow metal booked its longest losing streak since the 9-day streak ending March 10, 2017, according to Dow Jones Market Data.
- Silver futures for September increased by 31 cents, or 1.4%, to $22.86 per ounce.
- Palladium futures for September delivery rose by $28, or 2.3%, to $1,240 per ounce, while platinum futures for October delivery increased by $21.80, or 2.4%, to $913 per ounce.
- Copper futures for September delivery rose by 5 cents, or 1.4%, to $3.71 per pound.
Market Drivers
Hawkish comments included in the minutes from the Federal Reserve’s July policy meeting released on Wednesday have helped push global bond yields to their highest levels in 15 years, according to Edward Moya, senior market analyst at OANDA.
The yield on the 10-year Treasury note popped above 4.3% to its highest level since the 2008 global financial crisis.
“Gold prices are trying to recover after some hawkish Fed Minutes kickstarted a global bond market selloff. Bond yields are too high as more people become convinced inflation is not going away anytime soon,” Moya said in emailed commentary.
Meanwhile, the ICE U.S. Dollar Index DXY, a gauge of the dollar’s value against major currencies, was off by 0.2% at 103.22.
