Gold edges higher as traders return their attention to safe-haven assets
‘Investors are very cautious on treasury yield curve inversion, which had proven many times as an early signal for a recession,’ says Margaret Yang from CMC Markets
Bengaluru — Gold inched up on Wednesday, after declining the most in nearly two weeks in the previous session, as US recession fears triggered by a sharp decline in US treasury yields and weak data weighed on the share markets. Spot gold was up 0.1% at $1,316.09/oz as of 4.19am GMT. US gold futures were also up about 0.1% at $1,315.70/oz. “Investors are very cautious on treasury yield curve inversion, which had proven many times as an early signal for a recession,” said Margaret Yang, a market analyst with CMC Markets, Singapore. Yang said the falling treasury yields gave the market sufficient reason to take some hedging measures, which along with weaker-than-expected US data supported the non-interest bearing gold. US homebuilding fell more than expected in February, while consumer confidence ebbed in March, offering more evidence of a sharp slowdown in economic activity early in the year. Asian shares slipped on Wednesday, giving up small gains made the previous day as investors t...
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