Investing.com – Gold prices rose on Thursday morning as the dollar retreated across the board in Asia despite the rising 10-year U.S. treasury yields.
for June delivery on the Comex division of the New York Mercantile Exchange was up $2.20, or 0.17%, to $1,325.00 a troy ounce by at 11:29PM ET (03:29 GMT).
The that tracks the greenback against a basket of six major currencies last stood at 90.96, down 0.08%,
The continued to rise on Wednesday, shoring up the greenback. The yield was driven up to a new four-year high of 3.033% on Wednesday since early 2014, shoring up the dollar this week. However, the dollar started to lose its momentum on Thursday morning.
Dollar-denominated assets such as gold are sensitive to moves in the dollar – a gain in the dollar makes gold more expensive for holders of foreign currency and thus decreases demand for the precious metal.
Meanwhile, South Korea’s President Moon Jae-in is set to meet his North Korean counterpart Kim Jong-un on Friday, catching the world’s attention on how geopolitical relations would go in East Asia and how it for the much anticipated U.S.-North Korean summit.
Deemed as a safe-haven asset, gold attracts demand in times of elevated geopolitical risks, and vice versa. As inter-Korean relations seemed to improve, it eased geopolitical concerns and investors turned to risk assets instead.
In other precious metal trade, added 0.26% to $16.545 a troy ounce, and gained 0.22% to $914.70 an ounce.
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Source: Investing.com
