🚀 AI-picked stocks soar in May. PRFT is +55%—in just 16 days! Don’t miss June’s top picks.Unlock full list

Gold Down, UAE Comments Induce Drop in Oil and Improved Risk Sentiment

Published 03/09/2022, 11:42 PM
Updated 03/09/2022, 11:46 PM
© Reuters.
XAU/USD
-
GC
-
US10YT=X
-

By Gina Lee

Investing.com – Gold was down on Thursday morning in Asia. Investors retreated from the safe-haven yellow metal as U.S. Treasury yields rose and oil fell after comments from the United Arab Emirates (UAE).

Gold futures edged down 0.11% to $1,986.10 by 11:42 PM ET (4:42 AM GMT), after falling 1% earlier in the session.

The yellow metal pulled back about 3% in the previous session, the worst daily decline since January 2021, and halted a rally that took it near a record high hit in August 2020. The benchmark U.S. 10-year Treasury yield rose for a third consecutive day on Wednesday, with inflation remaining a concern even as oil prices fell.

On the data front, the U.S. will release its consumer price index later in the day, with the U.S. Federal Reserve also due to hand down its latest policy decision on Mar. 16. Across the Atlantic, the European Central Bank will also hand down its own policy decision later in the day.

Commodity prices cooled their rally on Wednesday. This rally saw record multi-year highs as markets digested supply disruption from Russia and Ukraine, two major producers of energy, metals, and crops. However, the conflict stemming from Russia’s invasion of Ukraine on Feb. 24 continues.

The U.S. is also urging fellow oil producers to increase production if possible. The UAE and Saudi Arabia are two of the few Organization of the Petroleum Exporting Countries and allies (OPEC+) members with the capacity to do so.

In other precious metals, palladium fell 1.1% to $2,904.04 per ounce. The metal, used in catalytic converters to curb emissions, climbed to a record high of $3,440.76 on Monday. This was driven by fears of supply disruptions from Russia, a top producer. Silver fell 0.9% and platinum fell 1.1% to $1,065.14.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.