Spot gold was last up 0.1 per cent at $1,825.29 per ounce on Tuesday morning
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Gold prices rose on Tuesday morning, as a pullback in the dollar supported demand for greenback-priced bullion and countered pressure from a recovery in US Treasury yields.
Spot gold was last up 0.1 per cent at $1,825.29 per ounce on Tuesday morning.
In the UAE, the Dubai Gold and Jewellery Group data showed 24K price jumping two dirhams per gram to Dh221.0 at the opening of the market on Tuesday. Among the other variants of the precious metal, 22K opened at Dh207.5 per gram, 21K at Dh198.0 and 18K at Dh169.75.
The dollar index steadied after falling from near 20-year highs on Monday and the tumbling Chinese yuan found a floor, as investors trimmed bets on whether US interest rate hikes will drive further dollar gains.
Naeem Aslam, chief market analyst at AVA Trade, said the precious metal has changed its recent course of action for the first time in four weeks.
“It is trading in positive territory. Clearly, a weaker dollar is the story behind the current moves in the gold price,” he said.
According to Aslam, three important things will matter the most for the gold price today. Firstly, it is the speech by the Fed member James Bullard which is scheduled for 12:00 GMT and followed by that, we have the Core Retail Sales m/m, which is expected to show a less encouraging reading of 0.4 per cent as compared to the previous number of 1.1 per cent.
And finally, the Fed Chairman’s speech at 18:00 GMT, whose main job will be to protect its reputation by winning the confidence of market players that the US central bank has things under control.
waheedabbas@khaleejtimes.com
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