Gold Hits $4,677 Three-Month High as Dollar Weakens and Treasury Buybacks Cap Yields
Updated
Updated · CNBC · Aug 25
Gold Hits $4,677 Three-Month High as Dollar Weakens and Treasury Buybacks Cap Yields
3 articles · Updated · CNBC · Aug 25
Summary
Spot gold rose 0.6% to $4,677.19 an ounce on Tuesday, its highest since mid-May, while U.S. futures gained 0.5% to $4,720.3.
A 0.8% monthly drop in the dollar and Treasury buyback plans that helped keep yields down by 3 basis points this month boosted bullion by making it cheaper for foreign buyers and less costly to hold.
The rally has pushed gold up more than 15% this month, putting it on track for its strongest monthly gain since September 1999, according to UOB; silver also climbed 0.4% to $69.19.
Fed Chair Warsh's upcoming Jackson Hole speech is the next test for the move, with Citi saying hawkish signals could stall the rally while a dovish surprise would add fuel.