Gold prices bounce back as US yields decline

Gold prices bounce back as US yields decline

Gold prices gained on Thursday as US Treasury yields retreated increasing the metal's appeal after hitting a nine-month low in the previous session. Spot gold rose 0. 7% to $1, 692. 21 per ounce by 07:03 GMT while US gold futures climbed 0. 7% to $1, 690. 30. Jeffrey Halley, senior market analyst at OANDA said "Dip buyers have emerged after the 1. 15% fall overnight and US bond yields have slightly eased, which has provided support for precious metals." Lachlan Shaw, head of commodity research at National Australia Bank said, the demand for safe-haven is likely to struggle due to increase in US yields, global vaccine rollouts and growth recovery. "Central banks will need to try and strike a balance between yields reflating in a reasonable fashion at a reasonable speed, compared to the recovery in economic activity, and so there may be tweaks along the way," Shaw said. Spot gold hit its highest since early October 2012 at $1, 788. 96 in early trade, and by 0958 GMT was at $1, 787. 31 per ounce, up 0. 4%. U. S. gold futures were up 0. 3% at $1, 805. 10 per ounce. Spot Gold rose 0. 2% to