Gold prices edged higher on Wednesday, supported by a decline in U.S. Treasury yields and a slight weakening of the U.S. dollar, as investors await the Federal Reserves policy statement for signals on the future path of interest rates.
Gold prices saw a slight decline during Wednesdays trading session, influenced by increased investor risk appetite following the announcement of a trade agreement between the United States and Japan. The deal came ahead of the scheduled deadline for imposing new tariffs. Despite the decline, weakness in the U.S. dollar and falling bond yields helped limit losses.
Gold prices climbed to their highest levels in more than a month on Tuesday, supported by a weaker U.S. dollar and declining U.S. Treasury yields. The market remains on edge ahead of the looming August 1 deadline for U.S.-EU trade negotiations.
Gold prices remained broadly stable in early Asian trading on Monday, as investors maintained a cautious stance ahead of major developments in global monetary policy and trade negotiations. The metals performance reflects prevailing uncertainty in the markets as participants await decisions that could shape the trajectory of the global economy in the coming months.
Global gold prices fell on Tuesday to their lowest level in nearly two weeks, following an announcement by U.S. President Donald Trump that Iran and Israel have agreed to a ceasefire, ending a 12-day conflict. The news dampened investor demand for the precious metal as a safe haven.
Gold prices climbed during trading on Wednesday, driven by persistent uncertainty surrounding a potential trade agreement between the United States and China, as well as investor anticipation of upcoming U.S. inflation data.
Gold prices experienced a notable increase, driven by rising global economic uncertainty and renewed trade tensions between the United States and China. The precious metal benefited further a weakening U.S. dollar, prompting a flight to safe-haven assets amid concerns of a deeper-than-expected global slowdown.
Several key factors have prompted major financial institutions to revise their gold forecasts upward. Notably, Citigroup raised its three-month price target for gold 3,150 to 3,500 per ounce. This upward revision reflects rising risks, including U.S. protectionist policies, budgetary concerns, and ongoing geopolitical conflicts in regions such as Ukraine and the Middle East.
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