Gold futures edged slightly higher Tuesday, gaining some ground a day after a rally in stocks helped to prompt some selling in bullion.
Gold for December delivery GCZ19, +0.14% rose $2.70, or 0.2%, to $1,514.30 an ounce, after the commodity gave up 0.8% Monday, while September silver SIU19, +0.97% picked up 19.5 cents, or 1.2%, to $17.13 an ounce, following a 1.1% loss a day earlier.
Precious metals were gaining some altitude as bond yields edged lower, providing some impetus for metals buying. The 10-year Treasury note yield TMUBMUSD10Y, -3.47% was down about 4 basis points to 1.5572%. Meanwhile, U.S. stocks traded lower.
Lower debt yields can make gold and other precious assets comparatively more attractive because metals don’t carry a coupon.
Gold has maintained its purchase above a psychologically important level at $1,500 an ounce, which many technical analysts view as a bullish signal.
“Gold bulls are engaged in a fierce battle to defend the $1500 psychological level as investors seek riskier assets,” wrote Lukman Otunuga, senior research analyst at brokerage FXTM.
Assets perceived as havens, like gold and bonds, have enjoyed a price run higher because investors have been worried that economic warnings signs point to a coming recession in the U.S., one that compels the Federal...