Foreign news on February 9, gold prices hovered near the two-week high reached the previous trading day on Wednesday, as US inflation data this week were widely expected to be strong, but the rise in US Treasury yields curbed the rise in gold prices.
Spot gold rose 0.08% to $1827.28 an ounce at 1615 / 41 Beijing time, staying near $1828.68, the highest since January 26th, set the previous trading day.
Us futures rose 0.03 per cent to $1828.4.
"expectations of higher inflation have largely driven this trend as the Fed's hawkish stance has been largely digested," said Soni Kumari, commodities strategist at (ANZ) at ANZ.
Us inflation data for January will be released on Thursday, and the consumer price index (CPI) is expected to rise 7.3 per cent year-on-year after strong labour data released last week boosted expectations that the Federal Reserve / FED will accelerate policy tightening.
Daley (Mary Daly), president of the Federal Reserve Bank of San Francisco, said on Tuesday that when the Fed raised interest rates, it should neither do too little nor be "too aggressive".
Nicholas Frappell, global general manager of ABC Bullion, said: "the softening of talk about the pace of Fed interest rate increases will support gold, and gold prices will be affected by developments in Russia and Ukraine."
Gold is often seen as a hedge against inflation and geopolitical concerns, but higher interest rates would raise the opportunity cost of holding unyielding gold.
The dollar index fell slightly, while benchmark 10-year Treasury yields remained below Tuesday's high since November 2019.
"the focus is on real interest rates," said Ilya Spivak, currency strategist at DailyFX. "although real interest rates are higher, they are still negative. So there is a bit of a push and pull here. On the one hand, real interest rates are rising, which is bad for gold, but it is still not as attractive as gold. "
For other precious metals, spot silver rose 0.16% to $23.21 an ounce, the highest since January 27.
Spot platinum rose 0.05 per cent to $1031 an ounce.
Spot palladium fell 0.24% to $2241.5 an ounce.
