Gold prices steadied into a tight range on Tuesday as a retreat in Treasury yields amid growing recession fears countered a stronger dollar while investors awaited an interest rate decision by the Federal Reserve, reports Reuters.
Spot gold was up 0.1 per cent at $1,720.48 per ounce by 1246 GMT, while US gold futures were little changed at $1,718.10.
Real rate is the single most powerful force behind gold's move, and the present "volatility in the metal comes from an "alternating thing between recession fears and inflationary risks," Bank of China International analyst Xiao Fu said.
At the same time, with the worsening European gas situation driving a rally in gas prices, "the inflation hedge property of gold is still valid to some degree," she added.
Gold prices steady --
FE Team | Published: July 26, 2022 22:41:18
Gold prices steady --
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