Gold prices show some correction

22 Apr 2024 , 10:47 AM

Spot gold dropped 0.3% to $2,381.36 an ounce today, 22nd April, in early morning trade. U.S. gold futures were down 0.7% to $2,395.80.

The yield on the 10-year U.S. Treasury increased slightly, closing at 4.6475%.

Israel’s military assault on the Gaza Strip has resulted in at least 34,097 Palestinian deaths and 76,980 injuries since October 7.

The Federal Reserve’s most recent survey of interactions with U.S. central banks identified persistent inflation and higher-for-longer interest rates as the two main threats to financial stability.

Chicago Federal Reserve President Austan Goolsbee remarked that the effort to reduce inflation has “stalled” this year, becoming the latest American central banker to abandon an earlier emphasis on the impending necessity of interest rate reductions.

Having non-yielding gold becomes less appealing when interest rates rise.

Strong increases in copper, gold, and other metals this year will be supported by macro concerns and a sturdy outlook for Chinese demand.

Despite experts saying the metal is ready for a technical correction, silver may be able to break through to $30 per ounce following its 26% rise in March and April on the strength of copper and gold’s record run.

Spot silver dropped 0.6% to $28.48 an ounce, while palladium was steady at $1,026.44, platinum slipped 0.1% to $930.72.

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