Gold futures edged higher in early trade Thursday, steadying after feeling pressure the previous session in response to rising Treasury yields.

Gold for August delivery rose $1.60, or 0.1%, to $1,960 an ounce on Comex.

July silver was up 26.6 cents, or 1.1%, at $23.795 an ounce.

July platinum fell 0.6% to $1,018.80 an ounce, while September palladium was down 1% at $1,373.50 an ounce. July copper fell 0.2% to $3.747 a pound.

The Federal Reserve is expected to hold its policy interest rate steady when it meets next week, pausing after a series of rate hikes that have taken the fed-funds rate from near zero to 5% to 5.25% since March 2022. However, expectations that a pause won't be for long lifted Treasury yields on Wednesday, putting pressure on gold. Higher Treasury yields raise the opportunity cost of holding non-yielding assets.

A rate rise by the Bank of Canada on Wednesday, ending a lengthy pause, underscored fears that U.S. rates may still have room to rise in the face of stubborn inflation, analysts said.

Source: Marketwatch