Gold Price Subdued Around $1800 Amid Flat US Real Yields

The XAU/USD Index has advanced by 0.09% as the last trading week of the year kicks in. The market sentiment is mixed, as a result of Omicron fears and transmissibility, despite being less dull.

The weekly chart depicts a neutral bias, though a descending triangle has formed, threatening of pushing prices towards $1,5060s.

Gold versus the US dollar slightly advances during the New York session, trading at $1,809.01, and thin liquidity conditions kept the market sentiment fluctuating between gainers and losers to conclude; the precious metal managed to rise despite broad US dollar strength

The US 10-year Treasury yield is flat, clinging to the 1.484% threshold, a tailwind for the non-yielding metal vs. the US dollar. At the same time, the US Dollar Index, which tracks the American currency’s value against a basket of its rivals, climbs some 0.15%, up to 96.17, staying above the 96.00 figure for the second consecutive week.

In the meantime, US Real-yields as of December 23 sit at -1.47%, flat following the footsteps of the US 10-year T-bond yield.

In the overnight session, the yellow-metal remained subdued in a $1,802-$1,812.40 narrow-range, at the lack of a catalyst, as the financial markets enter the last week of the year. Depicted by the 1-hour chart, XAU/USD’s downward move was capped by the double-zero psychological level and the 50-hour simple moving average (SMA), which lies around $1,807, pushing the non-yielding metal to current price levels.