Gold Holds Near $4,100 Amid Strong Dollar and Rising Yields
Despite a firm US dollar and 10-year Treasury yields at 5.34%, gold has stayed around $4,100 an ounce, showing unexpected resilience.
Gold prices have remained near the low $4,100 per ounce range even as the US dollar strengthened and 10-year Treasury yields climbed to 5.34%, the highest level since 2002. Softening US inflation and payroll numbers reduced odds of an immediate Fed rate increase, though markets still assign a strong probability to a December hike and the dollar index sits around 102.23. Despite these headwinds, global gold ETFs drew $10 billion in September, raising total holdings to a record 4,256 tonnes.
The World Gold Council notes that higher yields may signal fiscal stress rather than robust growth. Technical charts suggest the spot price should stay within $4,111-$4,226 before testing higher levels near $4,334-$4,403, while a break below $3,887 could open a path to lower zones.
Why it matters
Gold's steadiness influences investor portfolios and signals how markets react to a strong dollar and high yields.
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