Gold Maintains on the Lack of Confidence in the Health of the Global Economy

Gold rose on Wednesday due to a weaker dollar and dropping bond yields, regaining its position after a decline below $1,900. A strong British core inflation data for July pushed the pound up, offering gold short-term support against a softer dollar. As 10-year Treasury yields fell, the metal’s appeal grew, especially with potential interest rate hikes to combat inflation. “The main factor slowing gold’s decline is the lack of confidence in the health of the global economy with the latest data out of China adding to that negative sentiment,” Gold analyst Rupert Rowling said in a note.