Gold Down Amid Growth of U.S. Consumer Confidence Data

Gold prices seen down on Wednesday morning in Asia, while the U.S dollar inched slightly.

Gold Futures went down at 0.28% to $1,788.35 by 11:08 PM ET (3:08 AM GMT). Reduced stimulus and interest rate hikes pushed government bond yields up, translating into a higher opportunity cost for holding bullion, as seen from data report of investing.com.

Optimistic corporate earnings and less concerns about high inflation also reduced bullion’s safe-haven appeal.

Michael Ashley Schulman chief investment officer at Running Point Capital said, “Traders see this relatively strong earnings and other companies taking advantage of low interest rates to invest in capital expenditure as positive momentum.”

In addition, the U.S. consumer confidence data rise in October as concerns about high inflation were diminished by the optimistic labor market prospects, suggesting that the U.S. economic growth was stepping up.

As for other precious metals, platinum fell 0.7% and palladium went down 0.3%. Silver fell 0.8% to $23.95 per ounce.