Illustration: Gold bullion. Photo: ANTARA/Shutterstock/pri
jpnn.com – Gold prices slipped to their lowest level in more than a week at the end of trading Wednesday (Thursday morning WIB).
This turned lower from the previous session’s gains, as stronger US government bond yields and equities prompted investors to turn to riskier assets, reducing gold’s appeal.
The most active gold contract for August delivery on the Comex division of the New York Exchange, fell 8 dollars, or 0.44 percent, to close at 1,803.40 dollars per ounce.
The day before, Tuesday (20/7) the price of gold futures rose 2.2 US dollars, or 0.12 percent, to 1,811.40 US dollars.
Gold futures prices fell 5.8 US dollars, or 0.32 percent to 1,809.20 dollars on Monday (19/7), slumped 14 dollars, or 0.77 percent, to 1,815 dollars on Friday (16/7), and strengthened 4.0 US dollars or 0.22 percent to 1,829 US dollars on Thursday (15/7).
A spike in Delta variant COVID-19 infections that raised concerns over a stalled global economic recovery had weighed on risk sentiment and sparked a sell-off in equities on Monday (19/7/2021), but stocks and bond yields have since recovered, dimming the safe-haven appeal. gold haven.
“There is a sigh of relief in equities, government bonds and oil are back up. These are signs of reflation trading, which is not good for gold,” said Phillip Streible, chief market strategist at Blue Line Futures in Chicago.
However, Streible said reflation with higher economic growth and rising inflation is positive for silver, platinum and palladium which are also used for industrial applications.