Gold rises after Jerome Powell testimony

Gold prices advanced for the third consecutive session on Tuesday, helped by a decline in the dollar, after Federal Reserve Chairman Jerome Powell’s presentation to Congress provided no surprises regarding the entity’s monetary policy.

Spot gold gained 1% to $1,819.58 an ounce, while US gold futures rose 1.1% to $1,818.50 an ounce.

Following Powell’s comments, the dollar fell 0.4%, while the 10-year US Treasury yield fell from recent highs.

Gold is seen as a hedge against high inflation, but the metal is highly sensitive to rising US interest rates, raising the opportunity cost of holding non-returning bullion.

Among other metals, silver rose 1.3% to $22.75 an ounce; while platinum gained 3.3% to $971.11.

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