Gold stabilized today, Thursday, in spot transactions at $1918.59 per ounce, while U.S. gold futures fell by 0.1% to $1925.00. Gold is highly sensitive to rising U.S. interest rates, as increases raise the opportunity cost of holding the non-yielding metal. Minutes from the Federal Reserve meeting showed that it agreed to keep interest rates steady in the June meeting to allow time to assess whether further rate hikes are needed.
Traders are also closely monitoring developments regarding China’s export restrictions on key metals used in semiconductor manufacturing ahead of U.S. Treasury Secretary Janet Yellen's visit to Beijing today.
For other precious metals, silver rose 0.1% in spot transactions, while palladium fell by 0.9%, and platinum stayed steady at $915.77.
