Gold is Rising Due to The Decline in USD And US Bond Yields Before Powell’s Speech

Gold prices rose on Wednesday, July 14th, after receiving a boost from falling US Treasury yields and the dollar, while the focus is now on US Federal Reserve Chairman Jerome Powell’s speech to Congress later today after the strong rise in consumer prices.

And gold rose in the spot market 0.4% to $ 1814.13 an ounce, while it increased in futures trading in the United States 0.3% to $ 1814.5.

The dollar index fell 0.2%, after posting its best daily percentage gain in nearly a month on Tuesday. Ten-year Treasury yields also fell.

Data on Tuesday showed US consumer prices rose in June by the most in 13 years. Attention now turns to Powell’s testimony before Congress to elicit any trends towards increasing price pressures and the possibility of monetary policy tightening.

Gold prices fell 7% last month after the US Federal Reserve indicated that interest rates would be increased faster than expected.

On the level of other precious metals, silver rose 0.5% to $ 26.10 an ounce, palladium increased 0.4% to $ 2838.18, and platinum rose 0.6% to $ 1111.23.