The price of gold fell by one percent on Thursday
The price of gold weakened by 1% on Thursday. Yields on US government bonds remain elevated. Another factor is the hope for a faster recovery of the global economy, which reduces the demand for safe assets.
The spot price of gold was with a loss of 1.04% to 1786.10 USD (1470.53 euros) per ounce (31.1 grams). The April gold contract was sold on the Comex commodity exchange with a minus 0.85% after 1782.70 USD per ounce.
“Rising US bond yields due to better prospects in the second half of the year are increasing pressure on gold,” said Bank of China International analyst Siao Fu.
The price of gold fell despite the weakening of the dollar and the assurance of the head of the US Federal Reserve (Fed) Jerome Powell that the Fed will not change its loose monetary policy until the economy returns to full employment.
Investor sentiment is also reflected in the fact that the volume of gold in the management of the world’s largest gold fund SPDR Gold Trust fell to its lowest level since May 2020 on Wednesday (February 24).
Among other precious metals, silver improved, the price of which rose by 0.3% to 28.06 USD per ounce. The price of platinum fell by 1% to 1255.67 USD per ounce. Palladium weakened by 0.4%.