Gold closed with a loss on Wednesday while sticking above the US$2,000 mark as the dollar and treasury yields rose.
Gold for February delivery ended down US$8.60 to settle at US$2,013.20 per ounce.
The drop comes on a strengthening US dollar even as it remains down nearly 3% from its November high as weak economic data convinces investors the Federal Reserve is done with further interest-rate hikes. Treasury yields are also well under their month highs.
"Gold is benefitting from the tailwinds of heightened geopolitical risk, a weaker US dollar and retreating US Treasury bond yields. Investment flows are recovering in response," ANZ Bank noted.
Still, the dollar was higher early on Wednesday, with the ICE dollar index last seen up 0.39 points to 103.95.
Treasury yields rose, with the US two-year note last seen paying 4.9%, up 2.1 basis points, while the yield on the 10-year note was up 2.1 basis points to 4.415%.
Source : MT Newswires
