Gold Rises Toward $4,180 as US Treasury Yields and Dollar Ease

Key Facts

1Spot gold rose toward $4,180 per ounce as 10-year Treasury yields pulled back from 24-year highs.

2St. Louis Fed President Alberto Musalem stated that further rate hikes will be needed to bring inflation back to 2%.

3President Trump ruled out a military strike on Iran before the midterm elections, reducing gold's geopolitical risk premium.

Spot gold rose toward $4,180 per ounce as 10-year Treasury yields pulled back from 24-year highs, InvestingLive reported. The recovery was supported by a pause in the US dollar rally and a second consecutive decline in Treasury yields, which reduced the opportunity cost of holding the non-yielding metal.

St. Louis Fed President Alberto Musalem stated that further rate hikes will be needed to bring inflation back to the 2% target. Separately, President Donald Trump ruled out a military strike on Iran before the midterm elections, a move that has reduced the geopolitical risk premium previously supporting gold prices.