- Gold traded near $4,155 an ounce after falling 0.8% over the previous two sessions.
- A Federal Reserve official signaled one more interest-rate hike this year, with no further tightening needed in 2027, improving gold sentiment.
- Brent crude traded above $106 a barrel as Middle East attacks threatened further energy disruptions and inflation.
- Gold futures fell slightly ahead of U.S. Consumer Price Index data as traders reduced exposure, with the dollar and 10-year Treasury yields off their highs.
- Trend-following funds hold an estimated $10 billion net short gold position, so a price rise would force them to buy back futures.
- China's central bank has accumulated gold for 23 consecutive months, providing structural demand.
Quotes
“Bullion traded near $4,155 an ounce, after falling 0.8% in the previous two sessions.”
“China's central bank has been a consistent buyer, accumulating gold for 23 consecutive months”