Gold flat as higher US yields counter safe-haven bids

Feb 23: Gold was flat on Wednesday, holding near a nine-month high hit in the last session, as safe-haven demand was offset by a rise in Treasury yields following the first wave of U.S. and European sanctions on Russia for sending troops into eastern Ukraine.

FUNDAMENTALS

* Spot gold was little changed at $1,898.63 per ounce, as of 0147 GMT, after scaling its highest since June 1 at $1,913.89 per ounce on Tuesday. U.S. gold futures shed 0.3% to $1,901.90.

* The United States, the European Union and Britain announced plans to target banks and elites while Germany halted a major gas pipeline project from Russia, which they say has amassed more than 150,000 troops near Ukraine’s borders. Moscow has denied planning an invasion.

* Actions the Joe Biden administration took on Tuesday and may take soon to punish Russia’s economy over its aggression in Ukraine are not intended to hit global energy markets, a senior U.S. State Department official said.

* Yields on U.S. Treasuries edged higher on Tuesday.

* St. Louis Fed President James Bullard has been among the most hawkish voices at the Federal Reserve in recent months, pushing for 100 basis points worth of rate hikes over the next three meetings.

* Higher yields and interest rate hikes dent the appeal of bullion by raising the opportunity cost of holding non-interest paying gold.

* Spot silver was up 0.2% at $24.13 per ounce, platinum was flat at $1,075.75 and palladium rose 0.3% to $2,353.69.

For all the latest Business News Click Here 

 For the latest news and updates, follow us on Google News

Read original article here

Denial of responsibility! TheDailyCheck is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – [email protected] The content will be deleted within 24 hours.