NEW YORK / Content Syndication Services / — Gold prices edged lower on Thursday as a firmer U.S. dollar and elevated Treasury yields weighed on bullion, keeping the metal near a recent low after a volatile week across precious metals. Spot gold was down 0.1 percent at $4,538.16 per ounce in early trading, after gaining 1 percent in the previous session and briefly touching its lowest level since March 30 earlier in the week.
U.S. gold futures for June delivery were little changed at $4,539.50 per ounce. The move followed a sharper decline on Tuesday, when spot gold fell more than 1 percent as the dollar strengthened and Treasury yields remained high. Gold is priced in dollars, so a stronger U.S. currency makes the metal more expensive for holders of other currencies, while higher yields increase the relative appeal of interest bearing assets.
The dollar index rose modestly on Thursday and remained firmer over the past month, according to market data, adding pressure on dollar denominated commodities. The 10 year U.S. Treasury yield was also higher during the session. The Federal Reserve’s latest policy record showed officials remained focused on inflation risks, with the central bank’s 2 percent inflation objective continuing to guide expectations across bond, currency and commodity markets.
Dollar strength weighs on gold bullion
Gold’s latest move came after prices fell to about $4,464.64 per ounce on Wednesday, when bullion was also pressured by high U.S. Treasury yields and the firmer dollar. June U.S. futures declined to about $4,466.40 in that session. The metal then recovered part of the loss, but the rebound did not remove pressure from higher yields and the currency market.
Other precious metals also traded lower on Thursday. Silver slipped 0.5 percent, platinum declined 0.8 percent and palladium was down 0.4 percent in early dealings. The broader weakness showed pressure across the precious metals complex, although each market also reflects separate industrial and investment demand patterns. Gold remained the primary focus for investors tracking the relationship between U.S. interest rate expectations, the dollar and safe haven assets.
Rates remain central to trading
Market pricing continued to reflect attention on U.S. monetary policy. CME Group’s FedWatch tool showed a measured probability of a 25 basis point Federal Reserve rate increase later this year, keeping rate expectations central to trading in bullion and fixed income markets. Gold does not pay interest, making it sensitive to changes in real and nominal yields when investors compare the metal with Treasury securities and cash based holdings.
Bullion has remained supported by demand for defensive assets during periods of geopolitical tension, but Thursday’s price action was led by the dollar and Treasury yield backdrop. Gold was still substantially higher than a year earlier despite recent declines from its January peak. The latest trading kept bullion within a broad range after sharp moves earlier in 2026, with currency markets, yields and inflation data continuing to shape daily price direction.