THE price of gold fell on Thursday after five days of increases, as the US dollar and bond rates both increased ahead of the holiday weekend.
According to market statistics, gold for June delivery fell $9.90 to $1,974.90 per ounce. Bearish transactions impacted palladium, silver, and other commodities, according to www.goldprice.org.
The dip comes as safe-haven buying eased after this week’s US data showed inflation accelerating to new 40-year highs, while Russia’s conflict on Ukraine continues as it prepares to march into the country’s east.
Bond yields have risen, which is bad news for gold because it pays no interest. The yield on the US 10-year note has risen 13.1 basis points to 2.828 percent.
The dollar strengthened as well, increasing the price of gold for international buyers. The ICE dollar index was last reported at 100.36, up 0.48 points. As US bond yields rise and the dollar strengthens, gold prices fall.
