Gold rose on Wednesday with the decline in the US dollar and the returns of treasury bonds, while dealers in the market watched the fragile truce between Israel and Iran.
The instant gold price increased by 0.2 percent to $ 3328.89 an ounce, starting from 02:50 GMT, after he recorded its lowest level in more than two weeks on Tuesday.
American gold futures increased by 0.3 percent to $ 3343.00.
The dollar index settled near its lowest level in a week, making alloys more attractive for other currencies. The revenue of the standard US Treasury has remained for 10 years close to its lowest level in more than a month.
“Gold prices have benefited from the technical sale of the US dollar, and the weak returns of US Treasury bonds,” said Kelvin Wong, the chief market analyst in “Uanda”.
He added that one of the possible factors for the high price of gold is to increase the weakness of the dollar, and renew the focus on the financial deficit, and the US customs duties policy with the decline of tensions between Iran and Israel.
On Tuesday, Iran and Israel have indicated the end of the air war between them, at least at the present time, after US President Donald Trump has publicly scratched them for violating the ceasefire he announced.
The US consumer confidence has deteriorated unexpectedly in June with the increasing families’ concern about the availability of jobs, which is another indication that the conditions of the labor market are improving amid an increase in uncertainty about Trump’s fees.
On Tuesday, the head of the Federal Reserve Council, Jerome Powell, told members of Congress that high customs duties may start to raise inflation this summer, a period that will be decisive in the eyes of the American Federal Reserve Council in possible interest rates.
The Federal Reserve Futurers are currently estimated to reduce interest rates by 60 basis points for 2025, and the first step is expected to be taken in September.
According to a report issued by the Official Monetary and Financial Institutions Forum, one in every 3 central banks runs a plan worth $ 5 trillion to increase its investments in gold during the next year or two, its highest level in at least 5 years.
In other markets, the instant silver price settled at $ 35.90 an ounce, while platinum decreased by 0.3 percent to $ 1312.56, and palladium decreased by 0.5 percent to $ 1060.50.
