Daily Times

Gold price managed to regain some overnight losses on Thursday and gained around 0.80 percent. At 1300 hours GMT, gold in the international market was available at $1,739.20 per ounce after gaining $12.10. Meanwhile, the price of 10 grams of yellow metal in Pakistan increased to Rs95,500 after gaining Rs100. The closing prices of the yellow metal in the country remained Rs95,400 on Wednesday last. A relatively lower increase in local gold prices as compared to international price was due to overnight fall in gold price when the local market was closed. According to experts, gold recovered a part of the overnight losses; however, a solid recovery in the global equity markets could act as a headwind for the safe-haven precious metal. They said there seems to be no respite for gold price, as the risks remain skewed to the downside amid the immense strength seen in the US dollar and the Treasury yields so far this week. The Fed remains well on track to withdraw the stimulus support later this year, with markets pricing a rate hike in 2022. The hawkish Fed narrative and higher inflation seeming temporary keep the bullish undertone intact in the US yields, weighing negatively on the yields of gold, they said. Further, fading worries over the US government shutdown also adds to the greenback’s strength at gold’s expense. Looking ahead, the dynamics in the yields and quarter-end flows will have a significant bearing on gold price.