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Gold Up Despite a Rise in U.S. Treasury Yields

Published 07/04/2022, 11:28 PM
Updated 07/04/2022, 11:43 PM
© Reuters.
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By Zhang Mengying

Investing.com – Gold was up on Tuesday morning in Asia despite a rise in U.S. Treasury yields and a strengthening dollar.

Gold futures inched up 0.56% to $1,811.55 by 11:41 PM ET (0341 GMT). The dollar, which normally moves inversely to gold, inched up on Wednesday morning.

U.S. 10-year Treasury yields pushed past 2.95% after reopening from a holiday.

U.S. President Joe Biden may announce a rollback of some U.S. tariffs on Chinese consumer goods this week to counter inflation. Biden administration could also unveil a probe into industrial subsidies, which might lead to more duties in strategic areas like technology.

In Asia-Pacific, China’s services activity grew at the fastest rate in June in almost a year as COVID curbs eased and demand revived. China Caixin services purchasing managers' index (PMI) rose to 54.5 in June.

Ukrainian President Volodymyr Zelenskiy said that his armed forces were undeterred in their efforts to “break” Moscow’s will to pursue a nearly five-month war on Monday, while Russia’s Vladimir Putin hailed his military’s victory in the grueling battle of Luhansk.

Investors now are also monitoring Australia’s interest-rate decision, which is due later in the day.

In other precious metals, silver jumped 1.77%. Platinum fell 0.47% while palladium inched up 0.03%.

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