London — Gold clawed higher on Thursday as US Treasury yields and the dollar eased while palladium extended its outperformance over sister metal platinum. "A lot of what’s been driving gold has been the US bond market and we’ve seen rates stabilise now," said analyst Tom Kendall at ICBC Standard Bank in London. "I think the overreaction in fixed-income markets is coming to an end, and that means that the sell-off and overreaction in gold is also coming to an end." Spot gold has shed about 4% since the US election and slid 11% since touching a two-year peak of about $1,375 in early July. Spot gold was up 0.4% at $1,230.27 an ounce at 11.35am GMT, after dropping 0.25% in the previous session. US gold futures rose 0.5% to $1,229.80 an ounce. US Treasury yields eased on Thursday as a week-long surge that followed Donald Trump’s shock US election win subsided further, dragging the dollar off a 13-and-half-year peak. Weighing on gold has been expectation the US Federal Reserve will hike r...
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