By Sukanya Mitra and Ashitha Shivaprasad <\/p>\n
Aug 18 (Reuters) – Gold prices came under pressure on Tuesday from higher Treasury yields and a spike in \u200coil prices, while traders awaited minutes of the U.S. Federal Reserve’s \u200cJuly policy meeting for clues on the outlook for interest rates. <\/p>\n
Spot gold was down 0.5% at $4,391.14 \u200bper ounce, as of 0423 GMT, while U.S. gold futures for December delivery dropped 0.6% to $4,446.70. <\/p>\n
Yields on the benchmark 10-year U.S. Treasury note extended gains, raising the opportunity cost of holding non-yielding bullion. [US\/] <\/p>\n
Oil prices also edged higher after Iran said it \u200cwould shift to a “fully offensive” \u2060military posture following a breakdown in efforts to negotiate a permanent end to the war with the United States, while \u2060Washington ruled out extending a temporary ceasefire agreement. [O\/R] <\/p>\n
Oil prices will remain one of the key factors keeping gold under pressure as situation in the Middle East continues to \u200blook uncertain, \u200bANZ analyst Soni Kumari said. <\/p>\n
Traders’ expectations around \u200bFed policy rates are going \u200cto be important for gold, with a focus on technical levels, Kumari added. <\/p>\n
Elevated energy prices tend to raise inflationary fears and bolster expectations of higher interest rates by the Fed. While gold is typically seen as a hedge against inflation, higher interest rates tend to diminish bullion’s appeal. <\/p>\n
However, market pricing for a September \u200cquarter-point hike flipped to a nearly 65% \u200bchance of a “hold” after unexpected job losses in \u200bJuly, lower-than-expected consumer price inflation and \u200bweaker retail sales. <\/p>\n
Investors are also awaiting minutes from the Fed’s \u200cmost recent policy meeting, with the \u200brelease scheduled for Wednesday. <\/p>\n
Spot \u200bgold may test a support at $4,381, a break below could open the way toward the $4,320 to $4,351 range, according to Reuters technical analyst Wang Tao. <\/p>\n
Among \u200bother metals, spot silver \u200cslipped 1% to $65.11 per ounce, platinum lost 1.2% to $1,748.56, while palladium \u200bfell 1.2% to $1,317.01. <\/p>\n
(Reporting by Ashitha Shivaprasad and Sukanya Mitra in Bengaluru; \u200bEditing by Subhranshu Sahu and Sherry Jacob-Phillips) <\/p>\n","protected":false},"excerpt":{"rendered":"By Sukanya Mitra and Ashitha Shivaprasad Aug 18 (Reuters) – Gold prices came under pressure on Tuesday from…\n","protected":false},"author":2,"featured_media":588078,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[4414,5275,42,4486,43,6807,16540,40,38,41,39,17745,12522],"class_list":["post-588077","post","type-post","status-publish","format-standard","has-post-thumbnail","category-headlines","tag-energy-prices","tag-gold-prices","tag-headlines","tag-interest-rates","tag-news","tag-oil-prices","tag-spot-gold","tag-top-news","tag-top-stories","tag-topnews","tag-topstories","tag-treasury","tag-u-s-federal-reserve"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/588077","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=588077"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/588077\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/588078"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=588077"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=588077"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=588077"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}