Gold prices are under pressure due to the increase in US Treasury yields

Gold prices fell today, Wednesday, to fall to the sixth session in seven sessions, as the yellow metal, which does not yield a return, has been under pressure due to expectations that US Treasury revenues will rise thanks to more economic stimulus.

Spot gold fell 0.3 percent to $ 1732.51 an ounce by 0645 GMT, after falling to its lowest level since June 15 at $ 1706.70 on Tuesday, and US gold futures fell 0.3 percent to $ 1728.90.

Investors are closely following the progress of a $ 1.9 trillion US stimulus bill ahead of a Senate debate on the legislation this week.

The yields of record US Treasury bonds were stable near 1.4 percent, despite their decline from a one-year high reached last week.

While gold is considered a hedge in the face of inflation, the recent increase in returns has threatened that situation, as it increases the opportunity cost of owning the yellow metal that does not generate a return.

Federal Reserve officials (the US Central Bank) will keep their plans to ease monetary policy as it is in the face of a potential spurt of inflation this spring in an economy receiving support from coronavirus vaccines and government spending.

As for the other precious metals, silver fell 0.5 percent to $ 26.62 an ounce, while palladium rose 0.5 percent to $ 2,372.98.

Platinum fell 0.3% to $ 1201.49.

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