Gold futures closed 0.7% higher on Tuesday, back to the $2000 mark
In the early morning of the 19th Beijing time, gold prices rose on Tuesday, continuing yesterday’s rally. With the continued weakness of the US dollar and the decline of treasury bond yields, precious metals are back on the $2000 level. At the close of the gold futures market, the ice dollar index (DXY) fell 0.6% to 92.30 points, while the yield of us 10-year Treasury bonds fell 1.5 basis points to about 0.66%. A weaker dollar can increase the attractiveness of gold, as gold trades in dollars. The decline of treasury bond yield reduces the opportunity cost of holding non yield gold bars. Gold futures for December delivery on the New York Mercantile Exchange rose $14.40, or 0.7%, to $2012.10 an ounce. The futures rose 2.5% yesterday. Silver futures for September rose 40.8 cents, or 1.5%, to $28.075 an ounce. The futures rose 6 per cent yesterday.
