Gold prices moved sharply higher on Thursday, rising for the third-consecutive session, as the U.S. dollar and 10-year Treasury yields pulled back.
Price action
-
Gold prices
GCZ22,
+0.75%
for December delivery were up $14.30, or 0.8%, to $1,774.90 per ounce on Comex. If gold settles near these levels, it would mark the biggest daily advance for a most-active contract in about three weeks. -
Silver prices
SIU22,
+1.26%
for September delivery were up 25 cents, or 1.3%, to $19.16, on track for its biggest daily advance in roughly two weeks. -
Palladium prices
PAU22,
+2.12%
climbed $23.40, or 1.2%, to $2,049 per ounce, while platinum prices
PLU22,
-0.87%
climbed $4.90, or 0.6%, to $872.10 per ounce. -
Copper prices
HGU22,
+1.56%
advanced 4 cents, or 1.1%, to $3.69 per pound.
What analysts are saying
Precious metals traders distrust the notion of a ‘Fed pivot’, that is the notion the Federal Reserve will soon slow the pace of interest rate hikes, analysts from TD Securities wrote in a Thursday research note.
“Facing the most hawkish central bank regime since the 1980s, the entire precious metals complex is now trading in a bear market regime, despite rising risks of recession,” the team wrote.
Investors will hear more from Federal Reserve Chairman Jerome Powell on Friday when he speaks at 10 a.m. Eastern Time during the annual economic symposium in Jackson Hole, Wyoming.
The modest pullback in the dollar and long-term Treasury yields off their recent highs was helping gold recoup some of its most recent drawdown on Thursday, analysts said.
The ICE U.S. Dollar Index
DXY,
a gauge of the dollar’s strength against a basket of rival currencies, was down 0.3%, while the 10-year Treasury yield
TMUBMUSD10Y,
was down 1.7 basis points at 3.095%.
This post was originally published on Market Watch
