Gold futures finished higher on Wednesday, as the US Treasury Bond yields and dollar slides after Federal Reserve Chairman Jerome Powel reiterated dovish comments after June inflation rises at a 13 year high rate. A weaker greenback restored gold’s appeal to holders of third currencies, while the dip in bond yields reduces opportunity cost of non-yielding bullion. The yellow metal futures for the most active contract posted a highest settlement in nearly a month. Additionally, safe haven bullion investments amid news that several countries in the Asia-Pacific region continue to tighten restrictions in efforts to halt rising COVID cases also fuelled the upward trend.
Gold futures for August rose by 0.8% or $15.10 to settle at $$1,825.00 an ounce on the Comex division of the New York Mercantile. While, spot gold climbed by 1% to $1,824.75 per ounce.